Subject-To with PMI

[Tommy Cheng]

Hey gang!

I have a potential sub-to deal possible with my neighbor. The only details I have currently are that he placed 10% down 5 years ago so is currently paying PMI on his loan. No answer on whether it's conventional or FHA yet.

If it's conventional, can I, as the buyer, after the deal, pay off the loan to 80% to remove PMI? Does one have to apply to remove PMI or does it automatically remove after that threshold? If you have to apply, does it have to be the owner of the loan (the current seller) that applies?

Also, if we went through with the deal, how does one sell a property in the future after assuming somebody else's loan?

Would love your brilliant insights!

Tommy