When I purchased my property, it was my primary residence. Two years later, I moved out and began renting this property out. I am now trying to refinance the mortgage on this property, but I am not able to do so because the PMI underwriter will not allow it to be modified to an investment property. I would like to get them to allow this change of terms. I spoke with them on the phone today, and they said it was their policy not to allow these changes. They could allow an exception (maybe), but it would have to come at the request of my mortgage servicer.
My concern is that the mortgage servicer does not care whether this refinance/modification happens at all (that's what they told me).
One thing to note, the loan on the property is ~102% of the value of the home.
I currently have a 7-year interest-only ARM. I'd love to get it to a 30yr fixed. Any advice?
UPDATE: I spoke with my loan servicer. The rep said that nobody had ever actually called the PMI company to inquire about such things. He passed it to his manager. We'll see what happens from there.