PMI Calculator
Putting down less than 20%? Estimate what PMI adds to the monthly payment — and see the scheduled month when you can request cancellation (extra payments move it closer).
| Balance reaches 80% of original value (you may request cancellation) | ~month 95 (7.9 years in) |
| Balance reaches 78% (automatic termination point) | ~month 109 (9.1 years in) |
| Estimated PMI paid until the 80% point | $14,250 |
Scheduled milestones under CFPB-described rules for conforming US loans; your servicer and loan type decide actual eligibility.
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Last reviewed: July 20, 2026 · Formulas verified by automated tests before every release.
How is PMI calculated?
Private mortgage insurance (PMI) is generally required on a conventional US mortgage when the down payment is below 20%. Estimated annual PMI = loan amount × annual PMI rate; the monthly amount is that divided by 12. A $360,000 loan at a 0.5% rate costs about $150 per month. The actual rate comes from your lender's Loan Estimate, and cancellation follows your loan's rules.
PMI calculator example
Home price $400,000, 10% down ($40,000) → loan $360,000, LTV 90%. At a 0.5% annual PMI rate: $1,800 per year, $150 per month on top of the $2,275 principal & interest (6.5%, 30 years). On schedule, the balance reaches 80% of the original value around month 84 — roughly $12,600 of PMI paid before you can request cancellation. Adding $200/month of extra principal pulls that milestone about two years closer.
What affects your actual PMI rate?
Credit score and LTV are the big levers (roughly 0.3–1.5% annually across the spectrum), with loan type, term and coverage level adjusting from there. We deliberately don't guess your rate from a credit score — ranges in ads are marketing, your Loan Estimate is the truth. Enter the rate from it.
When PMI may be cancelled
For conforming US loans, CFPB describes two scheduled paths: your request at 80% of original value, and automatic termination at 78% with current payments. A new appraisal after significant home-value growth can sometimes accelerate this — ask your servicer about their process. Eligibility always depends on the servicer and loan type.
New to the topic? Our guide What Is PMI? explains the mechanics in plain language, and the Mortgage Calculator puts the whole monthly payment together.
Choose the right calculator
- What will the monthly payment be? → Mortgage Calculator
- How much do I need up front — and when will I have it? → Down Payment Calculator
- Comparing two loan offers? → Loan Calculator (A/B compare)
Sources, assumptions and limitations
- Formula: annual PMI = loan × rate; monthly = annual ÷ 12; 80%/78% milestones from the full amortization schedule (not simple division)
- Assumptions: Conventional US loan; fixed rate; PMI rate stays constant until cancellation; milestones use original home value.
- Not included: Property tax, homeowners insurance, HOA, FHA MIP/VA fees, lender-paid PMI structures, home-value reappraisal scenarios.
- Sources: CFPB: What is PMI? · CFPB: When can I remove PMI?
- Last reviewed: July 22, 2026 by the CalcNotebook team
Frequently asked questions
How is PMI calculated?
Estimated annual PMI = loan amount × annual PMI rate; monthly PMI = annual ÷ 12. On a $360,000 loan at a 0.5% rate: $1,800 a year, $150 a month. Your actual rate comes from the lender's Loan Estimate — enter it above for a real figure.
When can PMI be removed?
Under the rules CFPB describes for conforming US loans: you may request cancellation when the balance reaches 80% of the original home value, and servicers must terminate it automatically at 78% (if payments are current). The calculator shows both scheduled milestones for your numbers — extra principal payments pull them closer.
How do I avoid PMI entirely?
The standard route is a 20% down payment (LTV ≤ 80%) on a conventional loan. Alternatives some lenders offer — lender-paid PMI or piggyback loans — shift the cost rather than remove it; compare total cost, not just the monthly line.
Is PMI the same as FHA mortgage insurance?
No. PMI applies to conventional loans and can end. FHA loans use MIP with different rates and — for most recent FHA loans with under 10% down — insurance for the life of the loan. This calculator models conventional PMI only.