What is PMI?

Private Mortgage Insurance or PMI is required when a borrower provides less than a 20% down payment on a house. PMI partially protects the lender from loss if the borrower fails to make his/her mortgage payments. Generally, when you've paid off 20% of your loan, you may ask for the PMI requirement to be removed. Removing PMI will decrease your total monthly loan payment. Requirements for removing PMI vary according to loan program and state. Current loan customers may determine eligibility to remove PMI Insurance by accessing our Interactive Telephone Response System. Simply call 1-888-MET-6964 (888-638-6964), after selecting your language preference and then select option #2 for PMI information.

What is title insurance and why is it required?

Title insurance protects the lender or you against losses from disputes over the title of a property. It ensures against the possibility that there may be an unknown lien or any discrepancies in ownership. You may want to consider purchasing a separate buyer's policy to protect your interests.

How much title insurance do I need?

The amount of title insurance needed is based on the value of your home and the amount of your mortgage. Lenders are covered for the full value of the mortgage. This policy is required and will vary from state to state. There is a one-time fee for the policy that you pay at closing. In addition, you can obtain a separate owner's insurance policy to cover the full value of your home. However, this additional policy is not required.

How much homeowner's insurance does a lender require?

Your homeowner's insurance policy must cover the cost to rebuild the home. The insured amount may be higher or lower than the actual purchase price as long as it meets the program requirements. The insurance company you choose can give you an actual quote based on specific information about the property.

How do I know if I need flood insurance?

We will perform a flood hazard determination for your property. If your home is located in a Special Flood Hazard Area, federal law requires you to purchase flood insurance. Most standard homeowner's insurance policies do not cover loss due to flood. If you choose, you can obtain flood insurance coverage even if you are not required to do so by the lender.