If Pennymac services your mortgage, you can cancel PMI without refinancing once you have the equity. Pennymac is relatively easy to start with — you can open a cancellation request by phone or through its online message center — and it publishes both the original-value and current-value paths to removal.
Servicer policies, fees, forms, and phone numbers change over time. Use this as a general guide and confirm the current requirements directly with Pennymac before you act.
Step 1: Confirm Your LTV
Estimate your loan-to-value ratio — current balance divided by your home's value. Pennymac automatically removes PMI when your principal balance is scheduled to reach 78% of the home's original value, but you don't have to wait: you can request cancellation at 80% LTV, and potentially earlier on current value if your home has appreciated.
The 80% line
PMI can be requested below 80% LTV.
Below 80%
You can request PMI cancelation in writing.
At 78% (scheduled)
By law, your servicer must remove PMI.
Step 2: Check the Conditions
Before you request, make sure you meet Pennymac's conditions for an early cancellation:
- A good payment history with no recent late payments, and you must be current on the loan.
- No secondary liens on the property — a second mortgage, HELOC, or home equity loan can block cancellation until it's resolved.
- Equity that supports the request: 80% LTV on original value, or a lower current-value threshold that varies by your loan's investor.
Step 3: Start the Request
You can begin a deletion request two ways: call Pennymac, or log into your account and send the request through the Secure Message Center. Even if you start by phone, follow up in writing with your loan number and a clear statement that you're requesting cancellation based on current value, so there's a dated record.
Pennymac: 800-777-4001. Online — log in and open a PMI deletion request through the Secure Message Center.
Step 4: The Valuation
If you're requesting on current value, Pennymac will require a new appraisal or a Broker Price Opinion (BPO) to confirm your home's value, and the cost is yours. A full appraisal commonly runs $350 to $550; a BPO, where Pennymac allows it, is usually cheaper. Confirm the fee and which type Pennymac will accept before it's ordered.
Step 5: Confirm It's Done
Follow up if the request goes quiet, keep notes of every interaction, and ask for written confirmation once PMI is removed and your payment is adjusted.
Typical removal timeline
Most cases close in 30–60 days.
- 1
Day 1
Intake
You answer 5 questions
- 2
Week 1
Comps reviewed
We confirm eligibility
- 3
Weeks 2–4
Appraisal
Licensed valuation ordered & completed
- 4
Weeks 4–8
Lender filing
Formal cancelation submitted to servicer
- ✓
Week 8
PMI gone
Your next statement drops by the full PMI amount
The Bottom Line
Pennymac's process is among the more approachable: confirm your equity, clear the conditions (especially the no-second-lien rule), open the request by phone or message center, complete the valuation, and follow through to confirmation.
PMI Ninja handles Pennymac cancellations for you — confirming the conditions are met, filing the request correctly, and following up until PMI is confirmed off your payment.
Want us to handle your Pennymac PMI removal? Start the free check below — we'll tell you whether your equity supports cancellation before any valuation is ordered.
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