Mortgage calculator
with PMI
If you put down less than 20%, most lenders add private mortgage insurance. PMI protects the lender, not you, and it increases the monthly payment until the loan balance is low enough.
How PMI is charged
PMI is usually an annual rate (often 0.3%–1.5% of the loan) divided into monthly payments. The exact rate depends on credit, down payment and lender.
A simple example
On a $320,000 loan at 0.5% PMI, the yearly cost is $1,600, or about $133 per month. That is on top of principal, interest, taxes and insurance.
When it can go away
Lenders generally allow PMI removal when the loan-to-value reaches 80%, sometimes with an appraisal. Federal rules also require automatic termination at 78% of the original value on many loans.
FAQ
Is PMI always required below 20%?
No. Some lenders offer no-PMI loans with a higher rate, and some programs have different rules. Compare the total cost.
Can I cancel PMI early?
Sometimes. It depends on the lender, loan type, payment history and an appraisal.
Estimate only; not a loan offer or financial advice.