How much is PMI, and how do you calculate it?
Multiply the loan by the annual PMI rate, then divide by 12. A $380,000 loan at 0.6% costs $190 a month. Your rate comes from your lender and insurer, so take it from your Loan Estimate. We don't publish typical rates, since we can't verify one that would fit you.
Monthly PMI = loan amount × annual PMI rate ÷ 12| Loan amount | 0.3% | 0.5% | 0.75% | 1% | 1.5% |
|---|---|---|---|---|---|
| $200,000 | $50 | $83 | $125 | $167 | $250 |
| $300,000 | $75 | $125 | $188 | $250 | $375 |
| $400,000 | $100 | $167 | $250 | $333 | $500 |
| $500,000 | $125 | $208 | $313 | $417 | $625 |
| $750,000 | $188 | $313 | $469 | $625 | $938 |
PMI protects the lender, not you. The Consumer Financial Protection Bureau (CFPB) says it is usually added to your monthly payment, though some loans use an upfront premium at closing, or both. This tool models the monthly kind, as a flat premium on the original loan. If your premium is paid upfront or by the lender, the monthly figures here won't apply.
When does PMI go away?
The Homeowners Protection Act gives you three dates, all measured against your home's original value. That's the lower of the sales price and the appraised value when you bought. On a $400,000 home with a $380,000 loan at 6.5% and first payment in Dec 2026, they fall like this.
| Date | Balance test | Payment | When | Total PMI | What you must do |
|---|---|---|---|---|---|
| Request | Reaches $320,000 (80%) | 124 | Mar 2037 | $23,560 | Ask in writing and meet the conditions |
| Automatic | Scheduled to reach $312,000 (78%) | 135 | Feb 2038 | $25,650 | Be current on payments |
| Final | Midpoint of the schedule | 180 | Dec 2041 | Backstop | Be current on payments |
The final date is a backstop for slow-paying loans. At a 12% rate with 3% down, the balance isn't scheduled to reach 78% until payment 208, so PMI ends after the midpoint at payment 180 instead. High-risk loans have their own rule: 77% on schedule, or the midpoint if that's first.
The 80% date is not automatic. If you do nothing, you pay until the 78% date: 11 mos and $2,090 more in this example.
Do extra payments get rid of PMI sooner?
Yes, but only if you ask. The Act defines the cancellation date two ways, and you can pick. One is the scheduled date. The other is when your actual payments bring the balance to 80%. So paying $300 extra a month moves your request date from payment 124 to payment 76.
The automatic date does not move. The law sets it from the initial schedule "irrespective of the outstanding balance". Someone who pays ahead and never writes to their servicer keeps paying PMI until the original date, even with a balance far below 78%.
| Extra a month | Earliest request | Total PMI if you ask | Total PMI if you never ask |
|---|---|---|---|
| $0 | Mar 2037 (payment 124) | $23,560 | $25,650 |
| $100 | May 2035 (payment 102) | $19,380 | $25,650 |
| $300 | Mar 2033 (payment 76) | $14,440 | $25,650 |
| $500 | Dec 2031 (payment 61) | $11,590 | $25,650 |
| $1,000 | Apr 2030 (payment 41) | $7,790 | $25,650 |
Extra payments also cut interest. To see that part, test the same amounts in the mortgage payoff calculator.
Does a higher home value remove PMI?
Not under the Act. Every date in the law uses original value, so a rise in your home's value doesn't change any of them. A fall can matter, though: your servicer can ask for evidence the value hasn't dropped below the original value before granting your 80% request. It doesn't affect the automatic date.
Current value can still help, but only through your loan owner's policy. Fannie Mae's Servicing Guide is one published example. For a one-unit principal residence or second home it allows termination on current value at 75% with two to five years of seasoning, or 80% after five years, with a property valuation and a clean recent payment history. That applies to loans Fannie Mae owns. Ask your servicer who owns yours and what it requires.
| Value growth a year | Test met at payment | When | Act request date, for comparison |
|---|---|---|---|
| 2% | 63 | Feb 2032 | Mar 2037 |
| 5% | 47 | Oct 2030 | Mar 2037 |
| 10% | 27 | Feb 2029 | Mar 2037 |
Refinancing is another way out, because a new loan is measured against the appraisal done for it. It has its own costs and a new rate, so run it through the refinance calculator first.
What can stop a PMI cancellation request?
A request needs four things, and missing any of them can delay the savings the calculator shows.
- A written request to your servicer. The Act asks for it in writing, so a phone call alone is not enough.
- A good payment history. The Act means no payment 60 or more days late in the 12-month period that starts 24 months before your date or request, and none 30 or more days late in the most recent 12 months.
- Being current on your payments.
- Your servicer's requirements, which can include evidence the value hasn't declined and a certification that you have no second lien on the home.
Three things are worth checking early. A home equity line or second mortgage can block the request. Any appraisal or valuation may be at your cost. And if you fall behind, automatic termination waits until the first of the month after you catch up. These are good questions for your servicer, or for a HUD-approved housing counselor, often at little or no cost.
Common questions
What is PMI, and how much down avoids it?
PMI is insurance you may have to buy on a conventional loan with less than 20% down, according to the CFPB. To compare down payments side by side, use the down payment calculator. PMI totals in this example, if it runs to the automatic date: $27,936 at 3% down, $25,650 at 5% down, $19,620 at 10% down, $12,750 at 15% down.
Does this work for FHA loans?
No. FHA loans have their own mortgage insurance premium, and these dates are for PMI on conventional loans. The mortgage calculator models FHA premiums.
How soon does PMI stop after I qualify?
The Act says no premiums may be required more than 30 days after your request is received and any evidence is supplied, or more than 30 days after the termination date. Your servicer must return any unearned premiums within 45 days.
Is PMI tax deductible?
For 2026, the IRS's Publication 505 says the election to deduct qualified mortgage insurance premiums has been made permanent. You must itemize, and the IRS's draft 2026 Publication 936 describes a phaseout based on income. That publication was still a draft when we checked, so confirm the final version or ask a tax professional. This calculator leaves taxes out.
Does the Act cover second homes and rentals?
The Act's definition covers a single-family home that is your principal residence, for loans made on or after July 29, 1999. For a second home or rental, ask your servicer what applies. Adjustable-rate loans use the schedule then in effect, so this fixed-rate tool won't match them.
What if I already have a loan?
Open the advanced options and enter how many payments you've made. The dates then count from today, and you'll see what's left to pay in each case.
Sources
- When can I remove private mortgage insurance (PMI) from my loan? · Consumer Financial Protection Bureau
- What is private mortgage insurance? · Consumer Financial Protection Bureau
- 12 U.S. Code § 4901: Definitions (Homeowners Protection Act) · Legal Information Institute, Cornell Law School
- 12 U.S. Code § 4902: Termination of private mortgage insurance · Legal Information Institute, Cornell Law School
- Servicing Guide B-8.1-04: Termination of Conventional Mortgage Insurance · Fannie Mae
- Publication 505 (2026), Tax Withholding and Estimated Tax · Internal Revenue Service