How much is PMI per month?

Typically 0.3–1.5 % of the loan amount per year, divided by 12. On a $360,000 loan (10 % down on a $400,000 home) with a 720 credit score, about 0.55 % → $165 a month. The rate rises with a smaller down payment and a lower credit score: 5 % down with a 650 score can cost 1.2–1.5 %, or $360–450 a month on the same loan.

When can I get rid of PMI?

You can ask the lender to cancel it once the loan balance reaches 80 % of the original home value (about 7 years 11 months into a 30-year loan with 10 % down at 6.5 %), and the lender must cancel it automatically at 78 % (about 9 years 1 month) if you are current on payments. You can get there faster by paying extra principal, or by ordering a new appraisal if home prices have risen enough.

Is it better to pay PMI or wait until I have 20 % down?

Often PMI wins: on a $400,000 home, saving the extra $40,000 might take years while prices and rents rise, whereas PMI of $165 a month for eight years costs about $15,700 in total and lets you build equity now. Run both scenarios; if the extra down payment would take more than 2–3 years to save, buying with PMI is usually the better financial move.

What is the difference between PMI and FHA mortgage insurance?

PMI applies to conventional loans and can be canceled at 80 % LTV. FHA loans charge an upfront premium (1.75 % of the loan) plus an annual premium of about 0.55 % that lasts for the life of the loan when the down payment is under 10 %; the only way out is to refinance into a conventional loan. VA loans have no monthly insurance at all.

No. It protects the lender if you default; you pay for it because a low down payment makes the loan riskier. That is why it is worth canceling as soon as you are eligible, and why lender-paid PMI (a higher rate instead of a monthly premium) is usually more expensive over time since it never goes away.

PMI Calculator

Name: PMI Calculator
Author: Miikka

Putting less than 20 % down? Enter the home price, down payment, rate and your credit score to see what private mortgage insurance adds to the payment, how much you will pay in total, and exactly when you can cancel it (80 % loan-to-value) or when it ends on its own (78 %). Enter your lender’s quoted PMI rate for an exact figure.

By Miikka · CalcBrew · Updated Sep 16, 2026

Home price ($)

Down payment (%)

Mortgage rate (%)

Term (years)

Credit score

Your PMI rate (% per year, optional)

PMI per month

$165

0.55 % of $360,000

Loan-to-value

90.0 %

$40,000 more down would avoid PMI

Can request removal after

7 yr 11 mo

80 % LTV · $15,675 paid by then

Cancels automatically after

9 yr 1 mo

78 % LTV · $17,985 total

Principal and interest $2,275.44 a month; with PMI $2,440.44. Timelines assume the scheduled payments only and no change in home value — extra principal payments or a new appraisal after price growth can end PMI sooner.

📌 Conventional loans: PMI is required above 80 % loan-to-value, can be canceled at your request at 80 % (Homeowners Protection Act) and must be canceled automatically at 78 % of the original value when payments are current. Default rates are typical annual ranges by credit score and LTV; lenders quote the exact figure. FHA mortgage insurance follows different rules.

Credit score	15 % down (LTV 85)	10 % down (LTV 90)	5 % down (LTV 95)
760+	0.25 %	0.40 %	0.55 %
720–759	0.35 %	0.55 %	0.75 %
680–719	0.55 %	0.80 %	1.05 %
640–679	0.85 %	1.15 %	1.50 %

Annual rate as a percentage of the loan amount; typical ranges, not a specific insurer’s card. Divide by 12 and multiply by the loan for the monthly amount.

Worked example

$400,000 home, 10 % down, 30-year loan at 6.5 %, credit score 720: loan $360,000, PMI 0.55 % → about $165 a month on top of the $2,275 principal-and-interest payment. The balance reaches 80 % of the price ($320,000) after 95 payments, so you can request cancellation at 7 years 11 months having paid about $15,700 in PMI; it ends automatically at 78 % after 9 years 1 month. Paying an extra $200 a month reaches 80 % after 64 payments, about two and a half years sooner.

See also the mortgage payoff calculator for extra-payment scenarios and the closing cost calculator for the cash you need at signing.

Your total monthly payment with PMI

PMI is one line in the housing payment a lender quotes as PITI: principal and interest, property taxes and homeowners insurance, plus PMI and any HOA dues. On the $360,000 loan above that is $2,275 principal and interest + $165 PMI + about $415 in property tax (1.25% of $400,000 a year) + $150 insurance, roughly $3,005 a month. Lenders test that total against your income, typically wanting it under 28% on its own and under 36 to 43% together with car loans, student loans and credit cards, so PMI can be the difference between approval and denial.

Three ways to get rid of it: ask for cancellation at 80% loan-to-value (a clean payment history and sometimes a new appraisal are required); wait for automatic termination at 78% on the original amortization schedule; or refinance once you have 20% equity, which only pays off if the new rate is close to the old one. FHA loans work differently: their mortgage insurance premium (MIP) lasts 11 years or the life of the loan, and the usual exit is refinancing into a conventional mortgage once equity allows.

Frequently asked questions

Cite this calculator

APACalcBrew. (2026). PMI Calculator. https://calcbrew.com/pmi-calculator

MLA“PMI Calculator.” CalcBrew, 2026, calcbrew.com/pmi-calculator.

Link to https://calcbrew.com/pmi-calculator. Results are estimates; cite the underlying formula or data source for academic work.

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