PMI / move-in date sfh question

[Jeff B.]

Here is my situation. My conventional loan is 172,900 - it appraised for $190k and "off the record phone call from the appraiser to my broker" the appraiser mentioned that all the houses in the area are going for $250+ (many going for $330k) why the purchase of 172k?, the appraiser said he valued the house at 190k because it hasn't been updated since 1970 and if/when the buyer (me) upgrades the property with some minor upgrades it would be valued in the $250k's at least. My broker relayed the conversation and my thoughts are….

When will the PMI come off my loan (I put 5% down), 5% is because I felt my minor investment isn't needed on this property and since I run 3 other cash flow biz's I could use that money to increase my cash portfolio. i knew it would appraise higher then my loan and I could remove the PMI within a few years rather then the schedule plan of 8 years.

My closing docs state that i have a scheduled removal of the PMI in 8 years.

Question is if i get it appraised again in 2 years (after the updates) and it appraises above and beyond the 20% of loan and i submit my appraisal report to my lender can't I get the PMI off the loan? Or does this have to take affect after 2 years as the Title Officer mentioned? I guess it depends on the lender?

Does this sound right?

Next question, if my lender says i must live as primary home, but the lender gave me 2 months before moving in, but there are corrections that need to be made based on sfh inspections (purchased home as is after the inspections - i was able to get a reduction of the overall price of the home by $5k) and it may take me more than the 2 months to correct the issues ( duct work sprayed and cleaned and new windows) do I have to move in?

I wanted to rent the home for more than 2 months to a friend who will fix these issues (duct work and windows), but will the loan fault if i don't' personally move in because the correction isn't cleared.

I don't want to move in with my family with the ducts and no egress of the windows, will i jeopardize the loan if i don't move in within 2months? will they check to see if i'm living in it?

Thanks in advance on these issues…Jeff