I am applying for a new mortgage. This is a property that was put under contract as a lease purchase 5 years ago, when the market was not as good. It has come to the end of the lease purchase and I must now complete the purchase. The value of the home has increased over the past 5 years. AIMLOAN had one of their approved appraiser put a value on the house. The loan to value ratio is 45 %. I am only borrowing 45 % of the current value of the loan but AIMLOAN is requiring that I pay Private Mortgage Insurance. Even though I advised the this was not legal and would n't even cover them, because it only covers the first 20 % of the value of the the home, they did n't care and are refusing to close on the loan if I do not purchase the Private Mortgage Insurance. 
