Private Mortgage Insurance (PMI)

When you put down less than 20% on a conventional mortgage, lenders usually require you to get PMI to protect them in case you default on your loan.

PMI costs vary from insurer to insurer.

PMI costs are usually bundled into your monthly principal, interest & insurance payment.

Your PMI is terminated automatically when 22% of the equity in your home is reached, based on the original property value and if your mortgage payments are current. It can also be canceled at your request when you reach 20% equity.