The estimated Private Mortage Insurance cost on a $300,000 home with $5,000 down, a 7% interest rate, and a great credit score between 700 and 719 is $172 – That equates to $61,920 over the life of the loan.... If you have less than ideal credit it only skyrockets from there

January 23, 2024 

What is Private Mortgage Insurance – and how can you get rid of it?

If you’ve made the decision to make 2024 the year you buy a house, you may have prepared yourself for the cost of your mortgage payment – but have you prepared for another payment you’ll have to have on top of your mortgage if you’re making a down payment of less than 20%?

If you’re buying your first home, 20% down is probably a tall task. Putting 3.5% down might be easier for you, but what you may not know is that putting less than 20% will cost a little more monthly (which isn’t always a bad thing). However, this might not necessarily be part of your mortgage payment but an additional fee called Private Mortgage Insurance.

When you start to look at houses, you might be tempted to streeetch your price range just in case your dream home is a little outside of your budget.. If you prepare for this early, it could help you get approved for just a little more so you can buy that dream home.

Now, you may be asking yourself; what is this cost and how much do I have to prepare for it?

Private Mortgage Insurance (PMI) is the “cost” of putting a small down payment, and it can go up or down based on your credit score just like your mortgage payment. Here’s an example for you: Let’s say you’re buying a $300,000 home, with $5,000 for a down payment and a 7% interest rate… your monthly PMI payment could be $362 – or it could be as low as $172 if you have great credit (700-719).

Here at UQUAL, our job is to get you ready for these bumps in the road. If you’re seeing this, chances are your loan officer would love to be your guide and ally through this complicated journey, and they trust UQUAL to be your partner through this process as well.

If you have ANY interest in buying a house in 2024 – a phone call is free.

Click here to sign up for a free consultation.

Your future self will thank you!

  • Kathy CaravasKathy Caravas

    I am so thankful that I have the opportunity to recognize this associate with Uqual named Megan. She has been so thorough and explained everything to me and I am so thankful for her patience and her will to actually educate me on how to handle all the credit processes! I don’t understand much but whatever I do understand is, I’ve learned it from Megan! Everybody there has been wonderful. I have to say but Megan calls when she says she’s going to call and she explains everything in detail! She has very good follow-through skills and she is very thorough! I could write a book about her, but I’m just so thankful!

  • tania martineztania martinez

    UQUAL is great. I was able to buy my first house thanks to their program and since then I continue to work on my credit with them. I recently dealt with Jason and he was incredibly supportive and patient. I always have a lot of questions and he took the time to walk me through everything. He was also very compassionate. I highly recommend.

  • Anne TothAnne Toth

    Melissa was very helpful getting me started on my personal credit journey. I know this will help me better serve my clients. The info Melissa provided was informative and she was very patient with me. Even as a Mtg professional, we too need some hand holding.

  • Lindsey NwokoroLindsey Nwokoro

    My Mom and I have been with UQUAL since July 2025. I was recently told by a loan readiness coach that the credit score we see is “for educational purposes only” and not an actual score. Luckily this was cleared up by another gentleman, Mr. Donnie, who has been in my corner since the beginning and has since been very helpful. I am discovering new information as I speak to new individuals at UQUAL, which is helpful but at times, overwhelming. On the other hand, I hope and pray that our lenders can be extremely transparent and positive with my mom and aid with understanding what we need moving forward, as my mom is a first time home buyer. I have been distressed throughout this process but I truly hope that we can see further progress when it comes to our credit repair, as well as have coaches and associates that see the positive and not the negative, like my coach Ms. Rana has been. I truly hope that we can be properly guided and not misguided, as my mom and I have already experienced enough lenders and mortgage companies taking advantage of us.

    In the future, I ask that a newer coach please send me over to a different coach that can clarify things for me better and give me more accurate information.

  • Joseph Hulett IIIJoseph Hulett III

    Uqual is definitely the real deal. Every representative that I have talked to has been amazing. BillieJean in particularly answered every single question I had and explained quite a bit extra in detail. I love the details, BillieJean definitely pleased my curiosity.

    I seen results on my report little bit after my second payment, around 45 days-ish.

    I have used a few different companies to try and fix my credit in the past and was very discouraged to try another because of those experiences but Consumer's Credit Union partnered with Uqual and I'm so glad that I gave Uqual a chance.

    Thank you BillieJean and all the representatives at Uqual. You're the real deal and I appreciate all of your help!

    Plus, BillieJean also has the same name as a Michael Jackson song, lol. Definitely a cool chic from the start as for my concern, lol.

    Thanks for the positive experiences!