PMI Removal Calculator 2024-2025
Calculate when you can remove Private Mortgage Insurance from your loan
Mortgage & Property Details
PMI Removal Analysis
PMI Removal Requirements
• Request removal at 80% LTV based on original value
• Auto termination at 78% LTV based on original amortization schedule
• Good payment history (no late payments in last 12 months)
• No subordinate liens on property
Latest PMI Rules 2024-2025
• Lender must automatically terminate PMI at 78% LTV (original amortization)
• Borrower can request cancellation at 80% LTV (original value)
• Appraisal may be required for value-based cancellation
• Must have good payment history for 24 months
FHA Loans: MIP (Mortgage Insurance Premium) lasts minimum 11 years
USDA Loans: Guarantee fee for life of loan (no removal)
VA Loans: No PMI, but has funding fee
Loan Modifications: May reset PMI removal timeline
What is a PMI Removal Calculator?
A PMI (Private Mortgage Insurance) removal calculator is a free online tool that helps homeowners determine when they can cancel their mandatory PMI. This insurance is typically required on conventional mortgages when your down payment was less than 20%. The calculator analyzes your loan and property details to estimate if you have built enough equity—specifically, a Loan-to-Value (LTV) ratio of 80% or less—to qualify for cancellation, potentially saving you hundreds of dollars per year.
How to Use the PMI Removal Calculator
Using a PMI removal calculator is straightforward. Follow these steps for an accurate estimate:
- Gather Your Information: You will need your original mortgage loan amount, your current remaining loan balance, your home’s original purchase price, and a reasonable estimate of its current market value.
- Input Your Data: Enter the numbers into the calculator’s designated fields. Be as accurate as possible, especially with the current home value, as this greatly affects the equity calculation.
- Review Your Results: The calculator will instantly show your current equity percentage and LTV ratio. If your LTV is at or below 80%, it indicates you may be eligible to request PMI removal. The tool will also project your potential monthly savings.
- Plan Your Next Steps: If eligible, contact your lender to begin the formal cancellation process, which may require a formal appraisal. If not yet eligible, the calculator helps you visualize how extra mortgage payments or home appreciation can speed up your timeline.
Disclaimer: This information is for guidance. Lenders have specific policies for PMI removal Calculator. Always contact your mortgage servicer directly to confirm your eligibility and their required procedures.