"Ended up doing it anyway because I planned to stay put for a while, but if I'd been thinking of moving soon, it would've been a different story."
Haha, been there myself... PMI feels like tossing money out the window every month. Even small savings feel good once you're free of it—congrats on ditching it!
Yeah, PMI can definitely feel like money down the drain, especially if you're staying put long-term. But honestly, it's not always black and white. For some folks who plan to move or refinance within a couple of years, the upfront hassle and costs to ditch PMI might not make sense. I've seen situations where clients rushed to get rid of it, only to sell their home shortly after—didn't really come out ahead once they factored in appraisal fees and closing costs.
But if you're settled for the long haul, it's usually worth it. I had a client recently who refinanced to drop PMI, and they're saving around $150 a month now. Doesn't sound huge, but over years that adds up to a nice chunk of change. Plus, there's just something satisfying about seeing your payment drop and knowing more of your money is actually going toward equity instead of insurance. Glad it worked out for you!
"Plus, there's just something satisfying about seeing your payment drop and knowing more of your money is actually going toward equity instead of insurance."
Totally agree with this part. PMI always felt like tossing cash into a void every month. When I finally got rid of mine, it wasn't even about the savings (though that's nice too)—it was just the principle of the thing. Still, you're right about timing...if you're not staying put long enough, chasing after PMI removal can be more hassle than it's worth.
Yeah, PMI is definitely annoying, but sometimes it's just a necessary evil. I've had properties where it made sense to aggressively pay down principal and ditch PMI early, and others where I just let it ride because the numbers didn't justify the hassle. It really depends on your equity position and how long you're planning to hold onto the place. If you're close to that 20% mark though, it's usually worth the effort to get rid of it sooner rather than later.
I had a similar situation with my last house. PMI was pretty irritating, but initially I wasn't in a rush to get rid of it because the math didn't quite line up. But once I realized I was close to that 20% threshold, I took the plunge and made some extra principal payments. Honestly, it was a bit of paperwork and waiting around, but ditching PMI early ended up saving me quite a bit in the long run.
That said, I wouldn't blindly recommend it to everyone. If your equity is still pretty low or you're not planning on holding onto the property for more than a few years, aggressively paying down principal might tie up money you could use elsewhere. But yeah, if you're hovering near that magic number, it's probably worth crunching some numbers and seeing if you can get rid of it sooner rather than later.
