By Joseph T. Ellington Jr. – Licensed Residential Appraiser, Capital Valuations. Updated September 2026.
What to ask before paying for an appraisal to remove PMI
Homeowners sometimes order a private appraisal hoping it will end private mortgage insurance. The servicer may have a different process, so the order of steps matters. This article focuses on avoiding an unnecessary valuation expense. For eligibility paths and the difference between original and current value, read our PMI cancellation guide.
Four questions for your mortgage servicer
- What kind of mortgage insurance do I have? This guide discusses PMI on conventional mortgages. FHA mortgage insurance has different rules.
- Am I eligible to request cancellation now? Ask whether the request is based on the loan’s original value, current value, or another applicable rule.
- Who must order the valuation? Get the acceptable method, provider, fee, and ordering channel in writing before hiring anyone.
- What happens if the valuation does not support cancellation? Ask whether you still pay the cost and when another request may be possible.
The CFPB describes conventional PMI cancellation at the scheduled 80% original-value threshold, with conditions, and automatic termination in general at the scheduled 78% point for borrowers who are current. Fannie Mae’s current-value request process may require the servicer to order a broker price opinion or appraisal. Your servicer decides which route and evidence apply to your loan.
Compare the potential cost with your actual premium
| Input | Example | How to use it |
|---|---|---|
| Your monthly PMI | $125 | Use the premium on your current statement |
| Remaining months until expected termination | 8 | Ask the servicer for the scheduled date |
| Premiums during those months | $1,000 | $125 × 8; only a comparison amount |
| Valuation fee | Ask your servicer | Subtract the actual fee only if cancellation is approved |
The example cannot tell you whether you qualify, whether premiums would otherwise continue, or what a valuation will conclude. Do not treat it as a promised saving.
What a local appraiser can and cannot do
A residential appraiser can develop an independent opinion of value for a defined assignment. The appraiser does not decide whether PMI ends. A lender or servicer may decline a report that it did not order. When a current-value request is allowed, ask the servicer how an appraisal is selected and whether it needs documentation of improvements. Hampton Roads properties can differ in water exposure, condition, site, and available comparable sales; any value opinion requires property-specific research.
Next steps
Keep the servicer’s written response. If it permits you to hire an independent appraiser, share the exact intended use and instructions when you contact Capital Valuations. You can also review appraisal costs and our mortgage refinancing appraisal service, which is a separate situation. No appraisal fee or result should be assumed before the assignment is agreed.