Hi all -
I have a concern on being over 75% LTV on a refi I am in the midst of and what that might do to the deal.
I am looking good for approval on a refi for a fixed 15 year at 3.875% no points. Closing costs $2K. I have a 785 fico and steady income. The payoff on the first and second combined is $335 and we are rollign the closing costs in so total $337K. I think my home is worth $450-$500K. So at that level I am clear at 75% LTV or better. There's no way the appraisal goes below $420K into PMI territory but what if it does come in at 78% due to a low appraisal. Will the bank automatically ask for a higher rate? Walk away? Take the loan based on good credit history and my high net worth?
I am just wonderign if there are options in case my appraisal is not up to expectations. I am concerned about watching this sink after all the effort to get everything to this stage and eating a $450 appraisal fee.
Thanks!!
