Calculate your private mortgage insurance (PMI) costs with our comprehensive calculator. Estimate PMI rates based on your credit score, loan-to-value ratio, and down payment amount.
The total price of the home you're purchasing
Amount you're putting down (less than 20% triggers PMI)
Your FICO credit score range
Type of mortgage loan
How you'll use the property
Private Mortgage Insurance (PMI) is an insurance policy that protects the lender if the borrower fails to make their mortgage payments. Conventional mortgage lenders require PMI for homebuyers who make a down payment of less than 20% of their home purchase price.
PMI allows you to buy a house with a much smaller down payment, but you must pay a mortgage insurance premium along with the home price to offset the risk your lender is taking in case you default or miss payments.
PMI protects the lender, not you. It's required when you put down less than 20% and can be removed once you reach 20% equity in your home.
PMI rates are determined by several factors:
Higher credit scores typically result in lower PMI rates. Most private insurers won't insure a FICO score below 620.
The higher your LTV (lower down payment), the higher your PMI rate will be.
Different loan types (conventional, FHA, VA) have different insurance requirements and rates.
Primary residences typically have lower rates than investment properties or second homes.
Annual PMI = Loan Amount × PMI Rate
Monthly PMI = Annual PMI ÷ 12
Here are typical PMI rates based on credit score and loan-to-value ratio:
| Credit Score | LTV 85% | LTV 90% | LTV 95% |
|---|---|---|---|
| 760+ (Excellent) | 0.85% | 1.10% | 1.45% |
| 720-759 (Good) | 1.05% | 1.35% | 1.75% |
| 680-719 (Fair) | 1.30% | 1.65% | 2.10% |
| 640-679 (Poor) | 1.60% | 2.00% | 2.50% |
| 620-639 (Very Poor) | 2.00% | 2.50% | 3.00% |
* Rates are approximate and may vary by lender and specific circumstances.
You can remove PMI once you reach sufficient equity in your home:
You can request PMI removal when your loan balance reaches 80% of the original home value (20% equity).
Lenders must automatically cancel PMI when you reach 78% loan-to-value ratio (22% equity).
