About the FHA MIP Calculator
FHA loans carry two kinds of mortgage insurance premium (MIP). The upfront MIP (UFMIP) is 1.75% of the base loan amount and is usually added to the loan. The annual MIP is charged monthly at a rate set by HUD that depends on the loan term, the base loan amount and the loan-to-value (LTV) ratio. This calculator applies the current HUD rate table to show both, along with your principal and interest payment.
It is for buyers comparing an FHA loan with a conventional mortgage, borrowers deciding whether a bigger down payment is worth it, and anyone checking a Loan Estimate. Putting at least 10% down shortens the annual MIP from the life of the loan to 11 years, and choosing a term of 15 years or less can cut the annual rate to as little as 0.15%.
The annual rates come from HUD Mortgagee Letter 2023-05 for case numbers endorsed on or after March 20, 2023. That letter prints the high-balance threshold as $726,200 and says the threshold follows the national conforming loan limit, which FHFA set at $832,750 for 2026. Ask your lender which figure it applies and edit the threshold if needed. It only matters for base loans between the two amounts. Annual MIP is estimated on the average scheduled balance (including financed UFMIP) for each year, so it falls slowly as you pay down the loan.
With the default inputs, the monthly mip (first year) is $156.71. Change any value above to recalculate instantly.
How to use the fha mip calculator
- 1Enter the home price and your down payment percentage.
- 2Enter the interest rate and pick the loan term.
- 3Choose whether to roll the upfront MIP into the loan.
- 4Read the upfront MIP, monthly MIP and how many years you will pay it.
- 5Try 10% down or a 15-year term to see how the MIP rate and duration change.
Formula and method
The base loan is the price minus the down payment, and LTV is the base loan divided by the price. Upfront MIP is 1.75% of the base loan; when financed it is added to the loan balance. For terms over 15 years, the annual rate is 0.50% (0.55% above 95% LTV) for base loans up to the threshold, or 0.70% (0.75% above 95% LTV) above it. For terms of 15 years or less it is 0.15% up to 90% LTV and 0.40% above, with high-balance loans paying 0.15%, 0.40% or 0.65% depending on whether LTV is up to 78%, 90% or above.
Annual MIP lasts 11 years if the original LTV is 90% or less, otherwise for the whole term. Each year’s premium is the annual rate times the average of that year’s twelve scheduled month-start balances (including any financed UFMIP), paid in twelve monthly instalments.
- Base loan
- Price − down payment (before UFMIP)
- LTV
- Base loan ÷ price (or appraised value if lower)
- Annual rate
- HUD annual MIP rate in basis points ÷ 100
Worked examples
$350k home, 3.5% down, 30 years
The base loan is $337,750 at 96.5% LTV, so the annual MIP rate is 0.55% for the life of the loan. UFMIP is 1.75% = $5,910.63, making the loan $343,660.63. In year 1 the average balance is about $341,900, giving MIP of roughly $156.71 a month on top of $2,172.17 principal and interest.
10% down on the same home
At exactly 90% LTV the annual rate drops to 0.50% and, crucially, MIP stops after 11 years. First-year MIP is about $132.87 a month and total annual MIP is about $16,290 instead of $37,000+.
15-year FHA loan with 10% down
Terms of 15 years or less at 90% LTV or lower pay just 0.15% a year. On a $274,725 loan (including UFMIP) that is about $33.67 a month in the first year, for 11 years.
High-balance loan: $900k with 5% down
The $855,000 base loan is above the $726,200 threshold and LTV is 95%, so the rate is 0.70% for the life of the loan. UFMIP is $14,962.50 and first-year MIP is about $504.91 a month.
Frequently asked questions
What is the FHA MIP rate in 2026?+
Upfront MIP is 1.75% of the base loan. For a typical 30-year loan up to the high-balance threshold, annual MIP is 0.55% with less than 5% down and 0.50% with 5% or more down. These rates have applied to case numbers endorsed since March 20, 2023.
How long do you pay MIP on an FHA loan?+
If your original LTV was 90% or less (at least 10% down), annual MIP is charged for 11 years. With less than 10% down it lasts for the full loan term, and the only way to remove it is to refinance into a non-FHA loan or pay off the mortgage.
Can I finance the upfront MIP?+
Yes. Most borrowers add the 1.75% UFMIP to the loan amount instead of paying it in cash at closing. It then accrues interest over the loan term and slightly increases both the payment and the annual MIP.
Is FHA MIP cheaper than PMI?+
It depends on credit score and down payment. FHA MIP is priced the same for every borrower, so it is often cheaper for lower credit scores. Conventional PMI can be cheaper for strong credit and drops off at 78% LTV, while FHA MIP with under 10% down never cancels.
Do I get a UFMIP refund if I refinance?+
If you refinance into another FHA loan within three years, HUD credits part of the original upfront MIP toward the new one on a declining scale. There is no refund when you refinance into a conventional loan.
Results are estimates for educational purposes and are not financial advice. Rates, fees and terms vary — confirm with your lender or a licensed advisor before making decisions.