How long after a mortgage co sells your loan does the original mortg co have to keep your documents on file?

Question

I purchased my home in Dec'06 and now I want a copy of the appraisal that was done then. I asked for it upon closing in December & was told it was the property of the mortgage co, so I didn't get it but was told the value of the appraisal was $270,000. My bank has since sold my mortgage to another bank (in Jan'07). The purpose of this is so that I can ask to have my PMI charge removed. The obvious solution to me, would be to go back to the original mortgage co & ask for a copy of the appraisal that was done in Dec'06. Thanks!!

Answer 1

You are entitled to a copy of your appraisal under federal law. Here is a link to a copy of that law: http://www.appraisalservices.com/download/fedreserve.pdf. Print this and send a certified letter to your lender. Give them 14 more days to get you the appraisal. If they do not, contact the division of mortgage lending in your state and consider hiring an attorney. One very large lender, one that lends nationwide, lost a class action lawsuit on this a few years ago and had to send ten-dollar checks to everyone who closed a loan with them in the previous couple years. That was millions of dollars.

But PMI cancelation is based on the original loan amount. If, after two years, you get another appraisal done, then it can be taken off under certain circumstances. For more information, visit http://www.privatemi.com or http://smartermi.com.

Answer 2

Have you paid down your mortgage 20%? Stopping the PMI is usually based on the original mortgage amount. An increase in the appraised value won't help. You don't need a copy of that original appraisal.

It's all in the fine print of your contract. You can ask but it's highly unlikely your current mortgage company will waive PMI.

Answer 3

Unless your in a state where this doesn't apply the borrower is always entitled to a copy of their appraisal. I would however say you may need to get a new value check since its been so long and values may have changed. I would encourage you to call the manager of the branch you did the loan thru originally and ask them to send it to you or that you contact the appraisal company directly and tell them you were told you are entitled to a copy.