Mortgage Insurance (PMI) Calculator

Calculate monthly PMI cost and when it will be removed based on LTV.

By Konstantin Iakovlev · Updated September 2026 · Source: CFPB — When can I remove private mortgage insurance (PMI) from my loan?

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Monthly PMI

$137.50

Annual PMI

$1,650.00

PMI Details

Loan-to-Value (LTV)80.00%
Monthly PMI$137.50
Annual PMI$1,650.00
Can Request Cancellation (80% LTV)Already eligible
Automatic Removal (78% LTV)After payment 26

Use the Mortgage Insurance (PMI) Calculator above to calculate your results. Enter your values and see instant results — all calculations run in your browser.

Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.

How It Works

Private mortgage insurance is a recurring cost most buyers carry until enough equity builds up, and knowing both the monthly figure and the removal date makes it easier to plan around. Freddie Mac puts the cost at roughly $30 to $70 a month for every $100,000 borrowed, about 0.36% to 0.84% of the loan a year, and where you land depends on your loan-to-value ratio and credit score. Treating PMI as temporary rather than permanent is the right mindset for budgeting.

Your loan amount and estimated PMI rate produce the premium (loan × PMI rate ÷ 12 for the monthly figure), the loan divided by the home's value gives your loan-to-value ratio, and the tool then walks the loan balance forward through your scheduled principal and interest payments. Two thresholds matter: 80% LTV, where you can request cancellation, and 78%, where the Homeowners Protection Act requires the lender to drop it automatically. The projection assumes a fixed rate and steady payments throughout.

Extra principal moves the removal date earlier, since anything you pay above the schedule chips away at the balance faster than the amortization table predicts. Refinancing works the other way, resetting your LTV and sometimes pulling PMI back into the picture. And even when your LTV against the original value clears 80%, some lenders insist on a fresh appraisal before they sign off.

Example: First-Time Homebuyer's PMI

  1. 1 Input: Home value $300,000, loan amount $285,000 (5% down, $15,000), estimated PMI rate 0.85%. The loan is a 30-year fixed at 6.5%.
  2. 2 Premium: $285,000 × 0.85% = $2,422.50 a year, or $2,422.50 / 12 = $201.88 a month. Loan-to-value: $285,000 / $300,000 = 95.00%.
  3. 3 Removal dates: 80% of the original $300,000 value is $240,000 and 78% is $234,000. On the 6.5% payment schedule the balance falls to $240,000 after payment 124 (10 years 4 months), when you can ask to cancel, and to $234,000 after payment 135 (11 years 3 months), when the servicer must drop PMI if you are current on payments.
  4. 4 Context: Extra principal payments reach the 80% mark sooner, and you can request cancellation as soon as the actual balance gets there. Each year of PMI you avoid saves $2,422.50.

Source: CFPB — When can I remove private mortgage insurance (PMI) from my loan? · Last updated: September 2026

Frequently Asked Questions

What is the typical PMI rate for a conventional mortgage?
Freddie Mac estimates PMI at about $30 to $70 a month for every $100,000 borrowed, roughly 0.36% to 0.84% of the loan amount a year, paid monthly. On a $300,000 mortgage that is about $90 to $210 a month. The exact rate depends on your credit score, down payment percentage, and loan type. Better credit means lower PMI rates.
At what loan-to-value ratio is PMI automatically removed?
Under the Homeowners Protection Act, you can ask your servicer in writing to cancel PMI on the date your balance is scheduled to fall to 80% of the home's original value, or earlier if extra payments get it there. The servicer must end PMI automatically on the date the balance is scheduled to reach 78%, as long as you are current on payments. "Original value" is generally the lower of the purchase price and the appraisal when you bought, so a rise in the home's value does not move these dates, although Fannie Mae, Freddie Mac and some servicers have their own removal rules that can be more generous. FHA loans have different MIP rules.
Can I avoid PMI with less than 20% down?
Options include lender-paid PMI (rolled into a higher interest rate), a piggyback loan (80-10-10 structure), VA loans (no PMI required), or USDA loans. Each has tradeoffs. Lender-paid PMI cannot be removed later, while borrower-paid PMI can.

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