@Anonymous wrote:
Thank you for the opinion. We decided to go with AnnieMac, hope it isn't a mistake. BOA definitely didn't impress me, after initially talking with a person 3 days ago nobody has called me back after 2 voicemails and 2 emails.
On a separate but related question, we are being presented with 3 options by AnnieMac, 1 option with PMI, 1 with partial PMI, and 1 with zero PMI. The zero pmi is obviously the lowest payment option but I feel like it's too good to be true, what are some questions i should ask about this option and where will that money be made up? Supposedly all 3 options have the same interest rate.
Usually, PMI is only charged on a conventional loan if your LTV is greater than 80%.
If you are putting down less than 20% and AnnieMac is offering you the above 3 options - ask your LO what your interest rate will be for each of the options. The lender paid MI is usually accompanied by a higher interest rate. Yes, I see you said that they claim the interest rate is the same - but they have to get the money from somewhere and the only two places are rate and fees. Did they give you an actual LE? I suspect that if the rate is actually the same, they are charging you a one time MI premium due at closing. But ask your LO - the money has to come from either you or the lender and the lender doesn't pay for MI out of the goodness of their hearts (not cynical here, just practical).
