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Piggyback mortgages use two loans to avoid PMI but have costs. Calculate if piggyback saves money versus standard PMI for you.

Piggyback Mortgage Calculator

Estimate Your Savings and Split Loan Option

This calculator shows the impact of using a piggyback loan to avoid mortgage insurance. Enter your loan details to see potential savings and payment structure. For a complete overview of conventional loan options, see our main guide.

Total Monthly Payment: $0
Combined LTV: 0%
PMI Required: No
Loan Breakdown
First Mortgage (80%): $0
Second Mortgage: $0
Down Payment: $0
Down Payment %: 0%
Monthly Payment Breakdown
First Mortgage Payment: $0
Second Mortgage Payment: $0
Piggyback Mortgage: A combination of two loans to avoid PMI. Common structures are 80/10/10 (80% first mortgage, 10% second mortgage, 10% down) or 80/15/5 (80% first, 15% second, 5% down). The first mortgage stays at 80% LTV to avoid PMI, while the second mortgage covers the gap. Compare this to piggyback loans vs PMI to see which saves you more.

What This Calculator Does:

When you choose a piggyback loan method, it separates your first and second mortgage payments. This shows how dividing your loan into a first and second mortgage can help you avoid paying private mortgage insurance (PMI). For more on when conventional loans require PMI, see our detailed guide.

It figures out your total monthly payment, total interest over time, and loan-to-value (LTV) ratio. Helps you figure out how much money you could save by comparing piggyback scenarios to a regular single-loan alternative.

Shows the financial trade-offs between rising second-loan rates and PMI costs. Use our piggyback mortgage calculator to run different scenarios before talking to lenders.

Pro Tips for Borrowers:

To receive a comprehensive view of your total payments, always input the correct loan amounts for both the first and second mortgages.

You can find out which one saves you more by comparing your combined rate to the cost of PMI over a number of years. For a full comparison, see piggyback loans vs PMI to see which strategy saves more over time. Remember that second mortgages normally have higher interest rates.

Compare this to how much you save each month. Take a close look at your LTV; lenders usually look at the combined LTV to figure out how risky a loan is. Check credit score requirements for conventional loans to ensure you qualify for piggyback financing.

If your second loan is a HELOC with a variable rate, be ready for possible rate changes. An affordability calculator can help you determine if the payments fit your budget.

Piggyback Loan Structure:

A piggyback loan means getting two loans at the same time, usually an 80% first mortgage and a 10% to 15% second mortgage. You then have to put down 10% to 5% of the total amount.

This structure maintains your first loan at or below 80% LTV, so you don't require PMI. You can get a fixed-rate second mortgage or a variable-rate home equity line of credit (HELOC) as your second loan. For more details, read about piggyback PMI insurance and how it eliminates monthly insurance fees.

To make sure the plan helps you over time, you need to know how these two loans function together, including their rates and conditions. See conventional loan requirements for full qualification standards before applying.