What Is PMI When Buying a House in Texas?

What Is PMI When Buying a House in Texas?

Last Updated: June 2026

TL;DR: This post has been updated and consolidated. For the complete guide to PMI in Texas — including when it applies, how much it costs, and how to remove it — please see What Is PMI on a Mortgage in Texas?.

For most Texas buyers, PMI (private mortgage insurance) is required on a conventional loan when you put down less than 20%. It protects the lender, not the buyer, but it can help you qualify for a home sooner with a smaller down payment. You can often request PMI removal once your loan balance reaches 80% of the home's original value.

According to Sully Ruiz, a licensed Texas REALTOR® (TREC #0742907) with Sully Realty Group who has helped many first-time and ITIN buyers compare financing paths, PMI is not a penalty — it is a tool that lets you buy when the time is right for your family, rather than waiting years to save a full 20% down payment.

For the full breakdown of PMI costs, removal rules, and how it compares to FHA mortgage insurance, read the complete guide: What Is PMI on a Mortgage in Texas?

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About the Author Sully Ruiz is a licensed Texas REALTOR® (TREC #0742907) with Sully Realty Group / Keller Williams Austin NW. A bilingual real estate professional serving the Austin metro, Sully has helped 46+ families purchase homes using ITIN loans and has secured up to $30K in grants for qualifying buyers. She is a member of NAR, Texas REALTORS®, ABOR, and NAHREP. Book a free consultation →

Market data is for informational purposes only and is subject to change. Sources are believed to be reliable but are not guaranteed. Contact Sully Ruiz for a personalized market analysis.

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Sources

• Consumer Financial Protection Bureau — PMI overview — accessed June 2026
• HUD — FHA Mortgage Insurance — accessed June 2026