Down Payment & PMI Calculator

What this does

A down payment and PMI calculator shows your down payment, loan amount, loan-to-value, and monthly mortgage insurance, plus when conventional PMI can be canceled or ends automatically, or how long FHA mortgage insurance (MIP) lasts.

How it works

Conventional PMI is the loan amount times the annual PMI rate, divided by 12, and generally applies when the down payment is under 20% (loan-to-value above 80%). FHA annual MIP applies at any down payment and is recalculated each year on that year’s average scheduled balance. The end dates come from the amortization schedule: the payment at which the balance is scheduled to reach 80% and 78% of the original value (conventional), or 11 years versus the whole term (FHA).

PMI = loan amount × annual PMI rate ÷ 12

How to use it

1. Choose conventional (PMI) or FHA (MIP).
2. Enter the home price, down payment, mortgage rate, and term.
3. Enter the annual PMI or MIP rate.
4. Read the monthly premium, when it can be canceled or ends, and the total paid.

Understanding your result

Conventional: per the CFPB, you can ask your servicer to cancel PMI when the balance is scheduled to fall to 80% of the original value, and it must end automatically at 78% (or the month after the loan’s midpoint). FHA: per HUD Mortgagee Letter 2023-05, annual MIP lasts 11 years with at least 10% down (LTV of 90% or less) and for the whole loan term with less than 10% down. Dates assume scheduled payments and no change in home value.

Example

5% down on a $300,000 home at 6.5% for 30 years is a $285,000 loan at 95% LTV. At a 0.5% PMI rate that is $118.75 a month; you can ask to cancel after payment 124 (10 yr 4 mo) and it ends automatically after payment 135 (11 yr 3 mo), about $16,031 in total. The same home as an FHA loan with 3.5% down at 0.55% MIP starts near $132 a month and lasts all 360 payments, about $31,243 in total.