Your roadmap to dropping private mortgage insurance
The value shortcut
Your next move
The federal thresholds use original value, but many conventional loan investors allow removal based on a new appraisal if your home has gained value and you have held the loan for a minimum period. Ask your servicer for its written policy, the required loan-to-value at your loan's age, and who orders the appraisal before you pay for one.
Last reviewed against the primary sources listed below.
Questions for your servicer
- Do you allow PMI removal based on current value?
- What loan-to-value is required at my loan's age?
- Must you order the appraisal, and what does it cost?
- Do improvements count?
Avoid paying twice
An appraisal you order yourself may not be accepted. Let the servicer tell you the process first.
PMI questions on the road
Can I remove PMI with a new appraisal?
Often yes, under investor and servicer policies, if value has risen and you meet seasoning and loan-to-value conditions.
How much is PMI?
It depends on the loan amount, equity and credit. Your Loan Estimate or monthly statement shows your actual premium.