Does this apply to FHA loans?

No. FHA Mortgage Insurance Premium (MIP) has different rules. For many FHA loans with <10% down, MIP stays for the life of the loan.

Will the lender automatically cancel at 80%?

No. At 80% you must request it in writing. They only have to do it automatically at 78%.

Mortgage PMI Cancellation Calculator

Q: Will the lender automatically cancel at 80%?

No. At 80% you must request it in writing. They only have to do it automatically at 78%.

Save hundreds monthly by knowing exactly when you qualify to remove Private Mortgage Insurance in 2026.

Calculate Your Results

Adjust the values to see how your numbers change

What is PMI and how to remove it?

Private Mortgage Insurance (PMI) is usually required by lenders when you put down less than 20% on a home purchase. It protects the lender, not you, in case of default.

The Homeowners Protection Act (HPA) gives you the right to cancel PMI once you reach certain Loan-to-Value (LTV) milestones.

80% LTV: You can request cancellation. The lender must approve if you have a good payment history and the home hasn't decreased in value.

78% LTV: Automatic termination. The lender must stop the insurance automatically on the date your balance is first scheduled to reach 78% of the original value.

How to Use This Calculator

Original Value - Input the purchase price or the value at the time of the last appraisal.
Current Balance - Check your latest mortgage statement for the remaining principal balance.
Review LTV % - Watch the LTV meter. Once it drops below 80, you gain the right to request removal.

Calculation Formula & Example

The Formula

LTV % = (Current Loan Balance / Original Home Value) × 100

Where:

LTV = Loan-to-Value ratio.
HPA = Homeowners Protection Act of 1998.

Example Calculation

If your home was $500,000 and your balance is $390,000, your LTV is 78%. At this point, your lender must automatically cancel your PMI.

Benefits of Using This Calculator

Monthly Savings - PMI typically costs 0.5% to 1.5% of the loan amount annually. Removing it puts money back in your pocket.
Strategic Paydown - Use this tool to see if a small lump-sum payment could trigger cancellation and save you more in the long run.
Avoid Overpaying - Don't rely on the lender to tell you when you're eligible; take charge of your mortgage.

Calculator Use Cases

Refinance Comparison

Decide if refinancing to remove PMI is worth the closing costs.

Home Appreciation

Track if rising market values in your area mean you can request a new appraisal to drop PMI early.

Frequently Asked Questions

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