Private Mortgage Lender

Anonymous · ‎08-17-2007

Has anyone ever had a private mortgage lender?

Currently I have a 5.860% Mortgage from a conventional bank. I have been reading up on this in a few different forums. one was in Canada yet he is a broker of PML and offers 4.85%. I want to know it all before I tip-tow in there.

My current score is a 677 and my wife has a 740. We are being forced to carry a Private Mortgage Insurance. $325.00 a month for nothing. Thats a car payment for atleast 8 yrs or more on a 30 yr fixed rate.

Anonymous · ‎08-17-2007

Bach71 wrote:
Has anyone ever had a private mortgage lender?

Currently I have a 5.860% Mortgage from a conventional bank. I have been reading up on this in a few different forums. one was in Canada yet he is a broker of PML and offers 4.85%. I want to know it all before I tip-tow in there.
My current score is a 677 and my wife has a 740. We are being forced to carry a Private Mortgage Insurance. $325.00 a month for nothing. Thats a car payment for atleast 8 yrs or more on a 30 yr fixed rate.

PMI has nothing to do with scores but what you put down as a down payment on your house. Usually most banks require 20% down to avoid it. Some banks offer either no down payment and no pmi or no pmi and only 10% down. Usually these loans raise the rate to cover it though. Frankly with the rate of forclosures most banks will probably get rid of those type of loans and go with the 20% down. The good thing is once you reach paying down 20% of the home value, the pmi is canceled

Anonymous · ‎08-17-2007

Private mortgages can be good or bad, it really depends on reputability of that lender.

They almost never report to credit though.