US 2028 PMI Removal
PMI auto-cancels at 78% LTV (lender-driven). Manual cancel at 80% LTV with appraisal. 2028 strategy: amortize + appreciation = faster cancel.
| Equity | — |
| Pay-down to 80% LTV | — |
| Pay-down to 78% LTV | — |
| Annual PMI savings | — |
PMI (Private Mortgage Insurance) is required when down payment is less than 20% on conventional loans. Auto-cancels at 78% LTV based on original amortization (lender-driven). Manual cancellation request at 80% LTV requires written request + new appraisal proving value. Saves $1,200-$5,000/year typical.
Manual vs Auto Cancel
Manual at 80% LTV: requires written request + new appraisal (~$400-$600). Auto at 78% LTV: lender cancels automatically, no action needed. Appreciation NOT counted for auto-cancel (only amortized balance vs original purchase price).
Appreciation Manual Cancel
If home value rose substantially, request manual cancel using current appraised value showing 80% LTV. Lender must comply for conventional loans (per Homeowners Protection Act 1998).
FHA Mortgage Insurance Different
FHA loans: MIP cannot cancel via LTV (unless original LTV ≤90%). Only way off MIP: refi into conventional. Plan: refi when conventional LTV ≤80% achievable. 2028 rates determine breakeven.
Last updated May 2026. Sources: CFPB.