PMI Calculator
Find your monthly PMI cost and when it drops off.
This tool is for informational and educational purposes only. It is not a substitute for professional financial, medical, legal, or engineering advice. See Terms of Service.
Can't find what you need?
Request a ToolHow to Use the PMI Calculator
This calculator shows exactly what PMI will cost you and when you can stop paying it:
- Enter the home price. Type the purchase price of the property.
- Set your down payment. Enter either a dollar amount or percentage. The fields stay in sync. PMI applies when the down payment is less than 20%.
- Enter your mortgage rate. This is used to calculate when your loan balance reaches 80% LTV, the point where PMI drops off.
- Adjust the PMI rate. The default is 0.55% annually, which is typical. Your actual rate depends on credit score, LTV, and loan type. Rates generally range from 0.3% to 1.5%.
- Review results. You will see your monthly PMI cost, when PMI drops off (month and year), and the total PMI you will pay before it ends.
About Private Mortgage Insurance
PMI is required by lenders when your down payment is less than 20% of the home price. It protects the lender (not you) if you stop making payments. PMI is added to your monthly mortgage payment and typically costs between 0.3% and 1.5% of the original loan amount per year.
Under the Homeowners Protection Act, your lender must automatically cancel PMI when your loan balance reaches 78% of the original home value. You can request cancellation earlier, at 80% LTV, if your payment history is current. Some borrowers choose to make extra payments to reach the 80% threshold sooner and eliminate PMI faster.
Frequently Asked Questions
How much does PMI cost per month?
PMI typically costs 0.3% to 1.5% of your loan amount per year, divided into monthly payments. On a $300,000 loan at 0.55%, that is about $138 per month. Your exact rate depends on your credit score, down payment percentage, and loan type.
When does PMI drop off?
PMI automatically cancels when your loan balance reaches 78% of the original home value through regular payments. You can request removal at 80% LTV. On a 30-year loan with 10% down, this typically takes 6-8 years depending on your interest rate.
Can I avoid PMI with less than 20% down?
Some options exist: lender-paid PMI (higher rate, no separate PMI payment), piggyback loans (80-10-10 structure), or VA loans (no PMI regardless of down payment). Each has trade-offs, so compare the total cost over your expected time in the home.