What does PMI cost?
Costs vary from insurer to insurer, as well as from plan to plan. For example,
a highly leveraged adjustable rate mortgage would require the borrower to pay
a higher premium to obtain coverage. Buyers with 5% down payment can expect
to pay a premium of approximately 0.78% times the annual loan amount ($92.67
monthly for a $150,000 purchase price). But the PMI premium would drop to around
0.52% times the annual loan amount ($58.50 monthly) if a 10% down payment was
made on the loan.