Where am I in the DILF negotiations? (documents, foreclosure, mortgage)

[MattyB5576]

I have gotten through to the underwriter who states my lender took out MI on my loan. He has now sent the application to the MI company and we are awaiting the approval/denial of the MI company. The underwriter said that we are in the final stages of the process. He also told me that they may look for some type of contribution via a payment plan. He told me this usually takes 3-4 weeks to get an answer from the MI company so we are nxiously and patiently waiting.
Anyone have experience with the MI companies? How often do they approve these DILFs? Do they only insure 20% of the loan if I was financed at 100%? The only other option is for me to go in foreclosure since I need to move for family medical reasons.

[shellytc]

are you sure the lender isn't talking about the Mortgage Investor approval (mortgage investor like fannie mae, freddie mac) versus Mortgage Insurance?

shelly

[olecapt]

Me too...you should know you have Mortgage Insurance. Separate monthly fee.

So far MI companies have not been helpful. Want unsecured note from buyer and take forever to get organized.

[MattyB5576]

I dont pay for mortgage insurance in my loan. Maybe they rolled it into my payments but i am not aware and there is no line itemizing it on my mortgage payment. The underwriter stated that the investor "freddie mac" took out back end mortgage insurance on the loan. So he said once it goes through them which should take 3-4 weeks it will then go back to the investor freddie mac for a "blessing" if approved by the MI company of course. I am trying to figure out how much the MI company will insure. I have read that they insure anything over 80% of the loan value.

[Bill Keegan]

Originally Posted by MattyB5576

I dont pay for mortgage insurance in my loan. Maybe they rolled it into my payments but i am not aware and there is no line itemizing it on my mortgage payment. The underwriter stated that the investor "freddie mac" took out back end mortgage insurance on the loan. So he said once it goes through them which should take 3-4 weeks it will then go back to the investor freddie mac for a "blessing" if approved by the MI company of course. I am trying to figure out how much the MI company will insure. I have read that they insure anything over 80% of the loan value.

For at least a couple of years notw, may lenders have offered what is called Lender Paid Mortgage Insurance" (LPMI). Of course it should have been disclosed to you, and perhaps it's in your original loan documents. But you wouldn't be paying any additional monthly fees for insurance. You would have paid a slightly higher interest rate, which the lender tacks on to make up for the fact that THEY are insuring the missing equity.