To cancel PMI based on your home's current value, your servicer needs proof of that value — and that usually means paying for a valuation. It's the one real cost in the process, so it's worth understanding what you're paying for and whether it's worth it.
Typical Costs
A full appraisal — an in-person inspection by a licensed appraiser — generally runs in the range of $350 to $600, depending on your market, property type, and home size. Some servicers accept a broker price opinion (BPO) instead, which can cost considerably less, sometimes around $100 to $150.
Costs vary by servicer and region, and your servicer chooses which valuation type it will accept. Always confirm the required type and fee before assuming a full appraisal is necessary.
The ROI Math
Here's why the appraisal fee is rarely the real question. PMI commonly costs $150 to $300 or more per month. Against a one-time valuation fee, the payback period is short:
- PMI at $200/month vs. a $500 appraisal — the appraisal pays for itself in about 10 weeks.
- PMI at $250/month vs. a $125 BPO — paid back in roughly two weeks.
- Every month after that is pure savings, often for years.
Viewed over the remaining life of the loan, a few hundred dollars to unlock thousands in saved premiums is one of the highest-return moves available to a homeowner.
The Real Risk: Paying for the Wrong Appraisal
The math only works if the valuation actually comes back where you need it. The genuine risk isn't the fee — it's spending it on a request that wasn't ready: a home value estimated too optimistically, or a servicer requirement missed.
That's why confirming your equity position before ordering the appraisal matters. A realistic estimate up front is what keeps the valuation fee from being wasted.
The Bottom Line
A PMI removal appraisal usually costs $350 to $600, or less if your servicer accepts a BPO. Against monthly PMI, it typically pays for itself within weeks — as long as the valuation lands where it needs to.
PMI Ninja reviews your equity position before any valuation is ordered, identifies whether your servicer accepts a lower-cost BPO, and manages the request — so the money you spend on a valuation is money well spent.
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