Existing borrowers can check cancellation options now as Florida broker explains why timely savings matter

ORLANDO, FL, UNITED STATES, October 24, 2026 /EINPresswire.com/ -- President Donald Trump's October 22 housing executive order seeks to lower mortgage costs, including through a conditional PMI pilot limited to loans made after the program is established. It does not order immediate cancellation of private mortgage insurance on existing loans. Mortgage Expert is explaining the options current homeowners can check now and why timely delivery of savings matters.

"Making PMI reviews more proactive is a useful goal," said Shahram Sondi, founder of Mortgage Expert in Orlando. "For someone paying PMI today, the next step is to check the cancellation rules on the mortgage they already have."

The signed order calls for Fannie Mae and Freddie Mac to review eligible loans periodically using automated home-value estimates and other data. Establishment depends on the Federal Housing Finance Agency director's determination. Payment history and other cancellation requirements remain. The order specifies no pilot launch date.

Its separate refinance provisions could help some current homeowners. The order conditionally directs expansion of a program accepting alternatives to lender's title insurance on eligible refinances. It requires resulting savings to reach borrowers and be disclosed. Other changes, including certain appraisal waivers and fee reductions, are for consideration.

What current homeowners can check

For covered borrower-paid PMI, borrowers can generally request cancellation in writing at 80% of original property value, subject to payment-history, lien and property-value conditions. Automatic termination generally occurs at the scheduled 78% point if the loan is current. Current-value cancellation has separate requirements; reaching 20% equity does not qualify every loan.

Fannie Mae's September 16, 2026 lender letter permits servicers to contact borrowers who may qualify based on current value. Freddie Mac permitted similar outreach before that change. Borrowers can initiate a request without waiting for a call. Outreach permission is separate from the new pilot.

"Ask your servicer which cancellation route applies, what valuation it requires and when PMI would otherwise end," Sondi said. "Get those answers before paying for an appraisal or replacing a low-rate mortgage."

For a hypothetical borrower paying $150 monthly in PMI, avoiding 12 full months of premiums saves $1,800 before any valuation fee. Actual savings depend on costs and when coverage would otherwise end. FHA mortgage insurance follows different rules.

Why timely savings deserve scrutiny

In its Fall 2021 Supervisory Highlights, the Consumer Financial Protection Bureau reported missed automatic PMI terminations for borrowers who were current on their payments. Human error had produced inaccurate termination reports. The report also described corrections and new quality controls.

A 2015 CFPB bulletin also described cancellation delays and a servicer cited after its vendor kept premium refunds in escrow beyond the 45-day deadline. These historical findings support checking the process; they are not findings about the October 2026 order.

"The measure of success is when an eligible homeowner stops being charged," Sondi said. "I would watch the review schedule, the cancellation date and whether the next statement reflects the change."

Mortgage Expert's homeowner guide explains the order, the earlier outreach change and a message borrowers can send their servicer.

About Mortgage Expert

Mortgage Expert, Inc. is a Florida mortgage brokerage founded by Shahram Sondi, a Certified Mortgage Advisor and licensed real estate broker who has originated mortgages since 2001.

Shahram Sondi, NMLS 186790. Mortgage Expert, Inc., NMLS 2412313. Equal Housing Opportunity.

Media contact

Shahram Sondi | Mortgage Expert, Inc.
407-906-6414 | sondi@mortgageexpert.com

Shahram Sondi
Mortgage Expert
+1 407-906-6414
sondi@mortgageexpert.com