← Home

🇺🇸 U.S. PMI Calculator

Estimate U.S. private mortgage insurance (PMI) from price, down payment, and credit tier. See the monthly and annual PMI with an LTV rate table.

What is this tool?

Private Mortgage Insurance (PMI) protects the lender when a home buyer puts down less than 20%. It is common on conventional loans with a loan-to-value ratio above 80%.

How it works

Enter the home price, your down payment, and your credit tier. The tool computes the loan amount and LTV, then estimates the annual and monthly PMI from typical rate bands.

PMI rate by LTV and credit

Typical annual PMI rate as a percentage of the loan amount, by loan-to-value (LTV) band and credit tier:

LTV bandExcellentGoodFair
80.01–85%0.35%0.41%0.54%
85.01–90%0.45%0.52%0.67%
90.01–95%0.69%0.78%0.96%
95.01–97%0.94%1.05%1.29%

Examples

Example: estimated monthly PMI on common scenarios

Home priceDown paymentLTVMonthly PMICredit
$400,000$40,00090%$156.00Good
$400,000$80,00080%$0.00 (no PMI)Good (20% down)
$300,000$15,00095%$228.00Fair
$500,000$50,00090%$168.75Excellent
Ad

How to use

  1. Enter the home price.
  2. Enter your down payment amount.
  3. Pick your credit tier.
  4. Read the loan amount, LTV, and monthly PMI.

Frequently Asked Questions

When do I pay PMI?

When your down payment is below 20%, so the loan-to-value ratio is above 80%.

How is PMI calculated?

Usually as an annual percentage of the loan amount, split into monthly payments.

Can PMI be removed?

Yes. By law it cancels at 78% LTV, and you can often request cancellation at 80% LTV.

Does PMI count toward equity?

No. PMI is insurance for the lender; it does not build your home equity.

Is PMI required on all loans?

Only on conventional loans with low down payments; FHA has its own mortgage insurance.

Tips & Advice

A 20% down payment avoids PMI entirely. If you pay PMI, plan to reach 80% LTV so you can request cancellation. Compare the PMI cost against a slightly higher rate or a larger down payment when shopping for a loan.

Related Tools

Sources & References

Last reviewed: September 2026.

  1. Consumer Financial Protection Bureau (CFPB) – What is private mortgage insurance?.

Limitations

Estimates PMI from the loan amount, the loan-to-value ratio and a credit-tier rate band; it is not a quote. Actual PMI depends on the lender, the insurer’s rate card, your credit score, the property type and the loan terms, so the real premium can differ. A down payment of 20% or more avoids PMI on a conventional loan, and you can generally ask the servicer to cancel it once the LTV reaches 80%. The federal itemised deduction for mortgage insurance premiums has lapsed, so PMI is not currently deductible — confirm with a tax adviser.

Ad