Update on PMI Changes effective 7/1/09

A two family home in either Norfolk, Plymouth or Suffolk counties where the borrower is NOT getting an FHA loan either because of the condition of the property or because the rates are better with a conventional mortgage; BEWARE, MGIC one the larger PMI companies available has just made a guideline change regarding two family homes in restricted markets and Norfolk, Plymouth and Suffolk are considered restricted markets with MGIC.The change is that MGIC will NO longer offer PMI to anyone in those markets on two family properties. They will still offer PMI on three family and single family homes they have just decided not to offer it on two family homes. In closing double check any of your pre approvals on two family homes in those areas where the client is need of PMI and make sure the mortgage broker is up to date on the change and has an alternative mortgage available. Stay tuned for up to the minute updates. Your source for breaking mortgage news, Paul Winquist, CMPS