How Do I Remove PMI on a Davie, FL Home?

How Do I Remove PMI on a Davie, FL Home?

Private mortgage insurance is the charge your lender added because you bought with less than 20 percent down, a piece I break down in the Davie down payment guide. It protects the lender if you stop paying, not you, and it can quietly add real money to your monthly payment. The good news is that it does not last forever, and in a market like Davie it often comes off sooner than owners expect.

This is one of the more satisfying calls I get to have with a homeowner, because it is found money. You are paying for something you may no longer need, and getting rid of it lowers your payment without touching your rate.

The Two Ways PMI Comes Off a Davie Home

There are two paths, and they run on different clocks.

The first is the schedule your loan was born with. Your servicer must drop PMI automatically once your loan balance is first scheduled to reach 78 percent of the home’s original value, and you can send a written request to cancel at 80 percent, as long as you are current and have a clean payment history, per the CFPB. Original value means the lower of your purchase price or the appraisal from when you bought, so this path ignores any appreciation since closing.

There is a backstop too. If PMI is somehow still on the loan, it has to terminate the month after you reach the midpoint of your loan schedule, which on a 30 year loan lands about halfway through year fifteen, per the CFPB. You should never actually need that backstop in Davie, and here is why.

Why Davie Owners Can Often Remove PMI Early

Here is where Davie changes the math. The 78 and 80 percent rules above run on your original value, but there is a second route that runs on your home’s current value, and that route rewards a rising market, per Fannie Mae’s servicing guide.

If your loan is backed by Fannie Mae or Freddie Mac, and most conventional loans are, you can ask your servicer to cancel PMI based on a new appraisal of the current value. Between two and five years into the loan you need to be at 75 percent or less of that current value, and after five years, 80 percent or less does it, per Fannie Mae.

Davie single family values have moved a long way since 2021. The current single family median here is $893,000 (single-family median, trailing 182 days ending Oct 12, 2026, based on 199 listings, per BeachesMLS). If you bought a home in a community like Long Lake Ranches (33330) before that run up, a fresh appraisal can show you crossed the equity line without paying down much principal at all. That is the whole point. Appreciation did the work your amortization schedule has not gotten to yet.

How to Remove PMI on Your Davie Home, Step by Step

Work through these in order.

1. Confirm your loan type and who backs it. A conventional loan backed by Fannie Mae or Freddie Mac can be cancelled once you reach 20 percent equity, per the CFPB. An FHA loan is a different animal, covered below.

2. Estimate your current equity. Take what the home is worth today, subtract your loan balance, and see where you land. You can sanity check your assessed value with the Broward County Property Appraiser, though the market value from a real appraisal is what your servicer will use.

3. Ask your servicer for their cancellation process in writing. Your servicer is whoever you send the payment to, which may not be the lender who wrote the loan. Ask whether they accept a broker price opinion or require a full appraisal, and who orders it. If you are still shopping that relationship, my guide on how to choose a mortgage lender in Davie walks through it.

4. Order the appraisal or broker price opinion when they tell you to. It usually costs a few hundred dollars, and your servicer sets the exact fee and picks the appraiser.

5. Send the written cancellation request once the value supports it. Keep copies, stay current on every payment, and clear any second mortgage or home equity line first, since a junior lien can hold up cancellation, per the CFPB.

6. If the value is not there yet, set a reminder for your automatic date. Your servicer can tell you the exact month your balance is scheduled to hit 78 percent of the original value, per the CFPB.

FHA Loans Work Differently

If you bought your Davie home with an FHA loan, the rules change. FHA charges a mortgage insurance premium, not PMI, and reaching 20 percent equity does not automatically remove it the way it does on a conventional loan, per the CFPB. If you put less than 10 percent down, that premium typically stays for the life of the loan, and the common way off is to refinance into a conventional loan once you have the equity, per the CFPB. Timing that refinance matters, which I cover in when to lock your mortgage rate in Davie. Confirm your loan type and options with your lender before you count on any date.

Every one of these numbers depends on your exact loan, your down payment, and what your Davie home is worth right now. That last part is where I help. Pulling real comps on your street tells you whether an appraisal will clear the equity line before you spend a dollar ordering one. I read a home’s value the same way for owners that I do for buyers in the Davie buyer’s guide, and it starts with an honest look at the current Davie market.

Frequently Asked Questions

How much does PMI add to a Davie mortgage payment?

PMI is usually a fraction of a percent of your loan balance each year, split across your monthly payments, so on a Davie sized loan it can run well over a hundred dollars a month. The exact figure depends on your loan amount, credit, and how much you put down. Ask your servicer for the number on your statement so you know what removing it actually saves you.

Can I remove PMI if my Davie home went up in value?

Yes, if your loan is conventional. You ask your servicer to cancel based on a new appraisal of the current value. In the first few years you generally need to be at 75 percent or less of that value, and after five years 80 percent or less, per Fannie Mae. Rising Davie values since 2021 are exactly why this route works for so many owners here.

When does PMI come off automatically?

Your servicer must drop it once your balance is scheduled to reach 78 percent of your original purchase value, and again at the midpoint of your loan if it somehow lasted that long, per the CFPB. You have to be current on your payments for the automatic date to apply.

Does removing PMI lower my Davie property taxes?

No. PMI is part of your mortgage, not your tax bill, so cancelling it does not change your Broward County property taxes. It does lower your monthly payment, and you can bring down the tax side separately by filing your homestead exemption, which I explain in the Davie property taxes guide.

Is an FHA mortgage insurance premium the same as PMI?

No. PMI sits on conventional loans and comes off once you have enough equity. FHA charges a mortgage insurance premium that often lasts the life of the loan when you put down a small amount, and the usual way to remove it is a refinance into a conventional loan. Check your loan documents or ask your servicer which one you have.

Talk to a Davie Real Estate Expert

Anthony Spitaleri, Broker Associate, REALTOR® with Coldwell Banker Realty and a Davie native, reads the current value of a home the same way an appraiser will, using real comps on the street rather than an automated guess. If you think your Davie equity has crossed the line where PMI can come off, or you want to know your true monthly cost before you buy, the next step is a direct conversation. Schedule a free 15-minute strategy call and walk into the decision with every number known.

Anthony Spitaleri

Broker Associate, REALTOR® | Coldwell Banker Realty

Creator of Living in Davie, Florida

Davie, Florida | Serving Davie, Weston and surrounding Broward markets

954-235-5783

Florida License BK3281907

@livingindavieflorida

Written by Anthony Spitaleri, Broker Associate, REALTOR® with Coldwell Banker Realty and a Davie native. More about Anthony