How to remove PMI
PMI is common—and it’s not permanent.
The right way to remove PMI depends on your loan type, current value, and how close you are to key equity thresholds.
Three common ways PMI comes off
Paydown: you reach required loan-to-value through payments or extra principal.
Value increase: your home value rises and you document it with an appraisal.
Refinance: you replace the loan and remove PMI if the new loan meets the threshold.
When refinancing is the best option
You can remove PMI and also improve term/structure.
You want to transition out of FHA mortgage insurance rules (when applicable).
When you should avoid refinancing just to remove PMI
Rates are meaningfully higher and costs outweigh PMI savings.
You’re close to automatic cancellation through paydown.
Example scenario
You bought with 5% down and PMI is $140/month.
If value increased, an appraisal might confirm enough equity to remove PMI without refinancing.
If not, a targeted principal reduction may get you over the line faster.
Guidance
We start with your loan type and PMI rules, then estimate value and paydown timelines.
From there, we choose the cheapest path to remove PMI without creating a worse long-term mortgage.
Quick explanation from Steve
Video coming soon. (No empty player box—this placeholder will be replaced once recorded.)
Next step
Request a Strategic Refinance Review
If a question comes up while you’re reading, ask Steve247 using the chat in the corner of the page.
FAQ
Can I remove PMI without refinancing?
Often yes, depending on loan type. Paydown or appraisal-based removal may be available.
How much equity do I need to remove PMI?
Thresholds vary, but around 80% loan-to-value is common for removal. Program rules apply.
Is FHA mortgage insurance the same as PMI?
No. FHA has different rules and timelines. We can map a clean exit strategy if appropriate.
Can you tell me quickly if I’m close to removing PMI?
Yes. With your balance, original price, and estimated value, we can create a realistic plan.
About Steve Combs
Steve Combs is a mortgage strategist focused on helping buyers and homeowners make clear, confident mortgage decisions across Southern Maryland, Washington DC, Northern Virginia, and the Annapolis / Anne Arundel area. He is registered to lend in 46 states and the District of Columbia and has been quoted in The Washington Post. The goal of this site is simple: make mortgage decisions feel clear—not overwhelming.