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PMI removal

How many months until the loan reaches 80% LTV so PMI can drop?

Your numbers

Months until 80% LTV

67

Current LTV91.4%
Principal to reach 80% LTV$48,000
PMI still paid before removal$9,380
PMI avoided after removal (remaining term)$37,660

Tip. Educational estimate with the assumptions listed on this page. Not tax, legal, or investment advice.

Assumptions

  • Value is held constant. Appreciation is not modeled.
  • 80% LTV is the borrower-requested removal target, not automatic 78% termination.
  • Lender seasoning, appraisal, and automatic termination rules vary.

Explore the numbers

Examples

Load a scenario, then change one input at a time.

Example 1

New purchase

High LTV with $200 extra.

Months until 80% LTV

67

Example 2

No extra

Scheduled amortization only.

Months until 80% LTV

92

Example 3

After appreciation

Value already close to 80%.

Months until 80% LTV

0

What this calculates

Amortize a mortgage with optional extra principal to estimate when LTV hits 80% and how much PMI you still pay before then.

How to use it

  1. Use today's balance and a conservative value, not list price.
  2. If extra principal is zero, you are waiting on scheduled amortization only.
  3. Ask the servicer whether they need an appraisal at 80%.

Common mistakes

  • Using original purchase price after a price drop.
  • Forgetting PMI does not automatically vanish at 80% on all loans.
  • Counting a cash-out refinance as removal without modeling the new loan.

Formula

Each month: balance -= scheduled principal + extra. Stop when balance ÷ value ≤ 80%.

FAQ

Is 80% or 78% the rule?

Borrowers can often request cancellation at 80% LTV. Automatic termination is commonly 78% of original value. Confirm with the servicer.

Does extra payment always win vs investing?

Only if the after-tax PMI plus mortgage rate beats expected invested return. Pair with the mortgage vs index tool.

What if value rose a lot?

Raise the value input. That can hit 80% without extra payments.

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