Estimate your monthly PMI costs and find out exactly when you can stop paying PMI. See the total cost of PMI over the life of your loan and track your loan-to-value ratio year by year.
Private Mortgage Insurance (PMI) is the lender's safety net when you put down less than 20% on a conventional mortgage. It protects the lender (not you) against default and adds a recurring monthly cost to your mortgage payment. PMI rates typically run 0.3%–1.5% of the loan amount per year, with the rate driven primarily by your credit score and loan-to-value ratio.
This calculator shows your monthly PMI cost, the cumulative total you'll pay, and the year you'll hit the 80% LTV threshold where you can request PMI removal. Federal law (the Homeowners Protection Act of 1998) automatically cancels PMI when the original LTV reaches 78%, but you can request earlier cancellation at 80% by submitting a formal request to your lender.
A few PMI realities most people don't know: it can be paid monthly (most common), as a single upfront premium at closing (lump-sum PMI), or as a lender-paid arrangement where the lender raises your interest rate by ~0.25%. PMI on conventional loans is removable; FHA mortgage insurance (MIP) is not removable for loans with <10% down — you have to refinance to escape it.
$400K home, $40K down (10%), 30-year loan at 6.5%, 0.5% PMI rate. Loan: $360K, LTV 90%. Monthly PMI: $150 Total PMI before removal (year ~8): ~$14,400. Reaching 78% LTV automatically via amortization takes about 8 years on a 30-year loan. Reaching 80% with extra principal or with home appreciation can shave 2–4 years off.
Same loan, but home appreciates 4%/year. After 4 years, home value: $467K Loan balance at year 4: ~$343K Current LTV: 343/467 = 73% You're below 80% earlier than the amortization schedule suggests. With an appraisal request (typical cost $400–600), PMI can be removed years before automatic cancellation.
Use this calculator when: - Shopping for a home with less than 20% down (decide if buying now with PMI is worth it) - Already paying PMI (figure out when to request removal) - Comparing conventional with PMI vs FHA with MIP - Considering whether to pay extra principal to reach 20% sooner - Considering a refinance to drop PMI without other rate changes
A common mistake: waiting for automatic removal at 78% LTV when borrower-requested removal at 80% is faster. The lender's automatic timeline assumes you pay only the scheduled amount. If you've made extra payments or your home has appreciated, request removal as soon as you're plausibly at 80% — bring an appraisal if your lender requires one.
For VA loans (no PMI/MIP at all) and FHA loans (MIP that doesn't cancel), use the VA loan and FHA loan calculators respectively.
Calculate your monthly mortgage payment including principal, interest, taxes, and insurance.
Calculate FHA loan payments including upfront and annual mortgage insurance premiums.
Calculate VA loan payments with 0% down and funding fee for eligible veterans.
Calculate jumbo mortgage payments for loans exceeding conforming loan limits.
Calculate your tax savings from the mortgage interest deduction.
Calculate payments for an interest-only mortgage and compare to a standard mortgage.
PMI required if less than 20%
Typically 0.3%-1.5% of loan amount
Monthly PMI
$150
Total PMI Cost
$16,200
PMI Drops Off
Month 109
Starting LTV
90.0%
| Year | Balance | LTV % | PMI Paid | Principal | Interest |
|---|---|---|---|---|---|
| 1 | $355,976.19 | 88.99% | $1,800.00 | $4,023.81 | $23,281.53 |
| 2 | $351,682.89 | 87.92% | $1,800.00 | $4,293.29 | $23,012.04 |
| 3 | $347,102.07 | 86.78% | $1,800.00 | $4,580.82 | $22,724.51 |
| 4 | $342,214.46 | 85.55% | $1,800.00 | $4,887.61 | $22,417.73 |
| 5 | $336,999.52 | 84.25% | $1,800.00 | $5,214.94 | $22,090.40 |
| 6 | $331,435.32 | 82.86% | $1,800.00 | $5,564.20 | $21,741.14 |
| 7 | $325,498.48 | 81.37% | $1,800.00 | $5,936.84 | $21,368.50 |
| 8 | $319,164.04 | 79.79% | $1,800.00 | $6,334.44 | $20,970.90 |
| 9 | $312,405.37 | 78.10% | $1,800.00 | $6,758.67 | $20,546.67 |
| 10 | $305,194.05 | 76.30% | $0.00 | $7,211.31 | $20,094.03 |
| 11 | $297,499.79 | 74.37% | $0.00 | $7,694.27 | $19,611.07 |
| 12 | $289,290.22 | 72.32% | $0.00 | $8,209.57 | $19,095.77 |