high mortgage insurance premium

[ESA2012]

I was told to shop around for mortgage insurance. my LO was hoping that i can find a low premium to not offset DTI. the lowest i found was through the bank. we live in oklahoma and it was a 1650 yearly premium. When i called around to places like liberty mutual, progressive, farmers the quotes were ridiculous 2500-3000 yearly premium. My loan officer said 1650 may be the cheapest i can find due to the crazy weather happening over the year so many homeowners and roofers had a lot of repairs done to homes which in terms shot up premiums.

I was hoping to find cheaper insurace unfortunately doesnt seem that is possible. Any one else expierencing high quotes on mortgage insurance premiums? have any luck with a company? we are going through American Modern Insurance

[Mike_B03]

I think youre talking about homeowners insurance, not mortgage insurance, right? The cheapest I found was through a company affiliated with the builder called PCIC Insurance, give them a call and see what they can do. Our yearly premium is $470 for a $300k house.

[ESA2012]

yes homeowners insurance

thanks for the info

[Lulu3]

We are using Allstate. As we're buying close to the TX Coast, we have separate policies for wind, home and flood. None of which are cheap.  It all depends on where you live.

[prince1969]

The house I am buying is in what is considered a coastal community. Insurance has definitely been an issue. A lot of insurance companies wouldn't even provide coverage once I gave them the zip code. The sad thing is that the house is close to the boundary of that county and not even close to water but they look at the county as a whole. Eventually, I found someone and I had to move my auto policy to them as well to get the bundled savings.

[StartingOver10]

We have the same issue here in SE Florida where wind policies, flood policies and homeowners ins are all different policies.

Homeowners insurance (also called Hazard Ins) is extremely expensive here and if you have a frame house or one with the "wrong"  roof shape (such as gable) or older than 8 to 10 years the insurance can go from $2400 per year to many, thousands ($5,000 to $6,000 on a frame house in the $250k range is normal in some areas of the county). If you have a more expensive home, then of course the annual premium is even higher. Citizens, our state insurer of last resort, has constant increases too. Now they are doing everything they can to increase the premiums and remove discounts for wind protection.

The insurance companies have gone completely overboard here with the least amount of coverage, the most exclusions and the highest rates.

[Mike_B03]

Holy crap those are some outragoues prices! 

[StartingOver10]

Yep...it's crazy.

It's part of the reason why first time homebuyers have a tough time qualifying for a decent home. It is not unusual for the taxes to be $250/mth and the insurance to also be $250 (or more) a month plus mortgage insurance which has gone through the roof too.