Two thresholds to know
- 80% LTV — you can request removal. Send a written request; the servicer may require the loan be in good standing and sometimes a new appraisal.
- 78% LTV — automatic termination. Based on the original amortization schedule and original value, the servicer must drop PMI with no action from you, provided payments are current.
What this calculator does
Starting from your current value and balance, it steps the loan forward month by month, applying scheduled principal (plus any extra you enter) and optional monthly appreciation, and reports when the balance crosses 80% and 78% of value.
Fastest ways to kill PMI
- Extra principal. Even $100/month noticeably pulls the 80% date forward. Model it here, then plan it with the mortgage payoff calculator.
- Appreciation + appraisal. If comparable homes have risen, order an appraisal once you estimate you’re at 80% of current value.
- A one-time lump sum to bring the balance straight to 80%.
What PMI costs you
Typically 0.3%–1.5% of the loan per year, billed monthly. On a $380,000 loan that’s roughly $95–$475 a month buying you nothing but the lender’s insurance. Removing it is one of the highest-return moves available to a new homeowner.