Free PMI Calculator

Calculate private mortgage insurance costs based on your loan-to-value ratio, loan amount, and credit tier.

USD
USD
%
%
years

Monthly PMI Payment

$165.00

Annual PMI Cost$1,980
Loan-to-Value Ratio90.0%
Total Monthly (P&I + PMI)$2,560.09
Monthly P&I (without PMI)$2,395.09

Monthly PMI Payment vs Loan Term

What Is Private Mortgage Insurance?

PMI is required by conventional lenders when the down payment is less than 20% of the home value. It protects the lender if you default on the loan.

How PMI Is Calculated

Monthly PMI = (Loan Amount x Annual PMI Rate) / 12

PMI Rate Factors

  • Loan-to-value ratio: Higher LTV means higher PMI rates
  • Credit score: Better credit lowers your PMI rate (0.3% to 1.5% annual range)
  • Loan type: Fixed-rate loans have lower PMI than adjustable-rate
  • Removing PMI

    You can request PMI removal when your LTV reaches 80%. It is automatically cancelled at 78% LTV based on the original amortization schedule.

    Example Calculation

    A $400,000 home with $40,000 down (10%), PMI rate of 0.55%, 7% interest, 30-year term.

    1. 01Loan amount: $400,000 - $40,000 = $360,000
    2. 02LTV: $360,000 / $400,000 = 90%
    3. 03Annual PMI: $360,000 x 0.55% = $1,980
    4. 04Monthly PMI: $1,980 / 12 = $165.00
    5. 05Monthly P&I: $2,395.09
    6. 06Total monthly with PMI: $2,395.09 + $165.00 = $2,560.09

    Frequently Asked Questions

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