How to Get Rid of PMI
Getting rid of PMI on a conventional loan starts with knowing which threshold you are chasing. Request cancellation at 80% LTV in writing with good payment history and no subordinate lien. Automatic termination at 78% LTV happens on the scheduled balance if payments are current.
This example: $425,000 purchase but $400,000 appraised — original value is the lesser ($400,000). $360,000 loan at 6.75% with a $5,000 lump sum at payment 12. The downloadable PDF includes a cancellation request checklist: what to gather, what to put in the letter, and what the servicer may ask for.
Controls below model FHA (MIP rules, no computed date) and VA (no monthly MI). Every page states scope: US conventional primary residence under HPA. Not financial advice.
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Scope
Scope: private mortgage insurance on conventional loans, US, single-family primary residence, under the Homeowners Protection Act (HPA). FHA and VA loans follow different rules — see loan type selector.
Original value (lesser of purchase price and appraised value): $400,000.00
80% cancellation request: Month 83 — actual balance, extras count
78% automatic termination: Month 112 — scheduled balance, extras ignored
Midpoint backstop: Month 180 (original 30-year term)
Extra payments move the 80% request date but not the 78% automatic date.
Some servicers cancel PMI earlier when a new appraisal shows appreciation or improvements. That is not an HPA right — investor guidelines vary, seasoning applies, and you pay for the appraisal. This tool does not put a date on that path.
This is an estimate for planning, not financial advice.
Schedule rows around milestones
| Month | Balance | LTV | Milestone |
|---|---|---|---|
| 81 | $320,945.08 | 80.24% | |
| 82 | $320,415.45 | 80.10% | |
| 83 | $319,882.84 | 79.97% | 80% request (actual balance, extras count) |
| 84 | $319,347.23 | 79.84% | |
| 85 | $318,808.61 | 79.70% | |
| 110 | $312,976.35 | 78.24% | |
| 111 | $312,401.89 | 78.10% | |
| 112 | $311,824.20 | 77.96% | 78% automatic (scheduled balance, extras ignored) |
| 113 | $311,243.26 | 77.81% | |
| 114 | $310,659.05 | 77.66% |
The Nifty App · theniftyapp.com
Cancellation request checklist
- Written cancellation request to your servicer (certified mail recommended)
- Proof of good payment history on the loan
- Evidence the property has not declined in value (servicer may require an appraisal at your cost)
- Confirmation there is no subordinate lien on the property
- Loan number, property address, and contact information in the letter