Consumer complaint received 2017-02-04
Product: Mortgage — Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account — 
Company: PNC Bank N.A. (WA)

I took out a loan for my home on XXXX XXXX XXXX. The purchase price was {$620000.00} and my loan amount was {$510000.00} so a 82.6 % LTV. I was told at the time that as soon as I hit an 80 % LTV, they would drop my mortgage insurance. Knowing this. I paid a little extra on my loan and about 4 months ago, called and asked to put in this request. I had a few conversations about this and after all was said and done, they informed me that it is NOT an 80 % LTV on my purchase, but that I have to have this 80 % to drop my mortgage insurance on the value of the property now. ( Which is fine but not the way they explain how mortgage insurance works and were very misleading about them being able to drop the MI once at that 80 % LTV ) Anyway, they told me that I had to pay them {$500.00} to have the property appraised so that they knew that it was n't valued at less than what I paid. I live in XXXX and anyone who pays attention to any kind of housing market, which I 'd hope that they did being in the home loan industy, knows that our market has only rapidly appreicaiated in the past few years. My tax assessed value is {$63000.00} higher and if you were to look at XXXX or XXXX to get a basic estimate, they would say {$700000.00} and {$720000.00} respectively. I went ahead and mailed them a check for {$500.00} to just solve the issue and get it done as they have been wasting my time ( and money ) for the past few months. ( MI at {$300.00} and something a month for 4 months adds up! ) They repsonded, by mail, today and stated that they are not able to find an appraiser who will get them an appraisal for {$500.00} and the least expensive appraisal they can find is {$550.00} and until I mail them another check for the additional {$50.00}, my request has been put on hold. They also stated that the appraisal due date in XXXX and this quote was based on the appriasers schedule as of XXXX but received this information today, XXXX/XXXX/XXXX. So even if I did give them another {$50.00}, XXXX XXXX would come and go before this ever happens. 
My complaint is why am I paying for an appraisal anyway? I was never told that the LTV only applies if they decide my property is worth what I paid for it. What they say is that as soon as we get to the 80 % LTV, then the MI can be dropped. In the meantime, I keep getting charged for Mortgage Insurance every month on a property that I have a conservative 75 % LTV on ( more likely 72 % ) and I cant seem to get this MI removed. I paid them the requested {$500.00}, now they want {$550.00} and by the time they actually find an appraiser to handle this, will it be {$600.00} or {$700.00}? The fact of the matter is, is that I have an 80 % ( actually less ) LTV on my purchase price and I think that with a little research, they can confirm that the property has not decreased in value and that they should be able to drop the MI like I was told they would do. And they should honor thier {$500.00} appraisal request! Since I sent the check, I have made XXXX more payments with the mortgage insurance I have requested to be dropped.