January 26th, 2016 2:10 PM by Devin Murray
How long do I have to keep PMI on a conventional 30YR purchase loan?
3% original down payment = 111 months*5% original down payment = 103 months*10% original down payment = 80 months*
*Regardless of your credit and note rate, PMI will be removed automatically from the balanced owed reaches 78% of the original appraised value at the time of purchase.
*While most PMI companies will allow you to request it be removed within 24-36 months subject to an appraisal you request through your loan servicer, if you don’t make a single extra payment or contribute to the principal this answer stays the same based on regular amortization on a 30 YEAR loan.
This is important for shopping for a loan compared to the same scenario for FHA.
3% original down payment = 360 months5% original down payment = 360 months10% original down payment = 360 months