Reliant Home Funding Editorial Team

NMLS #292473Licensed in 27 statesUpdated October 26, 2026

Reviewed for accuracy by senior mortgage advisors • Rates verified against Freddie Mac PMMS®

Eliminating PMI with a Massachusetts Conventional 1st Mortgage Refinance

As of June 19, 2026, according to Freddie Mac's Primary Mortgage Market Survey®, the average 30-year fixed mortgage rate in Massachusetts is 6.47%, and the 15-year fixed rate is 5.81%. For homeowners with a credit score of 700 or higher, established income, and a down payment of 10% or more, refinancing your conventional mortgage can be an effective strategy to eliminate Private Mortgage Insurance (PMI) and potentially secure a more favorable interest rate.

What Are Today's Mortgage Rates in Massachusetts?

Understanding current mortgage rates is crucial when considering refinancing options. Here's a snapshot of the prevailing rates:

Loan Type	Interest Rate	APR	Points	Monthly Payment
30-Year Fixed	6.47%	6.60%	2.125	$2,070
15-Year Fixed	5.81%	5.76%	2.000	$2,836

These rates are as of June 19, 2026, according to Freddie Mac's Primary Mortgage Market Survey®. For more information, visit Freddie Mac PMMS.

Refinancing at these rates could lead to significant savings over the life of your loan, especially if your current rate is higher.

How to Eliminate PMI Through Refinancing

Private Mortgage Insurance (PMI) is typically required when your down payment is less than 20% of the home's purchase price. For borrowers with a credit score of 700 or higher and a down payment of 10% or more, refinancing your conventional mortgage can help eliminate PMI. Here's how:

Assess Your Home's Current Value: Obtain a professional appraisal to determine your home's current market value.
Calculate Your Loan-to-Value (LTV) Ratio: Divide your current loan balance by your home's appraised value. If your LTV ratio is 80% or lower based on the appraised value after refinancing, you may qualify to remove PMI.
Determine Eligibility for PMI Removal: Ensure your LTV ratio is 80% or lower to qualify for PMI removal.
Initiate the Refinancing Process: Contact a reputable lender to discuss refinancing options and start the application process.

Pro Tip: Refinancing not only helps eliminate PMI but can also secure a lower interest rate, further reducing your monthly mortgage payment.

Steps to Refinance Your Mortgage in Massachusetts

Refinancing your mortgage in Massachusetts involves several key steps:

Evaluate Your Financial Situation: Review your credit score, income, and current mortgage terms to ensure refinancing aligns with your financial goals.
Research Lenders and Loan Products: Compare offers from multiple lenders to find the best rates and terms for your situation.
Gather Necessary Documentation: Prepare financial documents such as income statements, tax returns, and proof of assets.
Apply for Refinancing: Submit your application to the chosen lender and await approval.
Close the Loan: Review and sign the closing documents to finalize the refinancing process. In Massachusetts, the average closing time for a refinance is approximately 30 to 45 days, depending on the lender and complexity of the loan.

Common Mistakes Homebuyers Make

When refinancing to eliminate PMI, avoid these common pitfalls:

1. Overlooking Closing Costs

Refinancing involves closing costs that can range from 2% to 5% of the loan amount. Ensure you have the funds available to cover these expenses.

How to Avoid:

Request a detailed estimate of closing costs from your lender.
Compare offers from multiple lenders to find the most cost-effective option.

2. Ignoring the Break-Even Point

Calculate how long it will take to recoup the costs of refinancing through monthly savings. If you plan to sell the home before reaching this point, refinancing may not be beneficial.

How to Avoid:

Use online calculators or consult with a financial advisor to determine your break-even point.

3. Failing to Lock in a Rate

Interest rates can fluctuate. Not locking in a rate during the refinancing process can result in higher costs.

How to Avoid:

Stay informed about current market trends.
Discuss rate lock options with your lender.

4. Not Considering Loan Terms

Refinancing can extend your loan term, potentially increasing the total interest paid over time.

How to Avoid:

Evaluate different loan term options to find the best fit for your financial goals.

5. Neglecting to Review the New Loan Agreement

Ensure you fully understand the terms and conditions of the new loan before proceeding.

How to Avoid:

Read all documents carefully.
Ask your lender to clarify any terms you don't understand.

Frequently Asked Questions

1. How long does the refinancing process take in Massachusetts?

The refinancing process typically takes 30 to 45 days in Massachusetts, depending on the lender and complexity of the loan.

2. Can I refinance to eliminate PMI if I have less than 20% equity?

Yes, if your credit score is 700 or higher and you have a down payment of 10% or more, refinancing can help eliminate PMI.

3. Are there any state-specific programs in Massachusetts to assist with refinancing?

Massachusetts offers various programs to assist homeowners with refinancing. It's advisable to consult with a local lender or housing counselor to explore available options.

Compliance Disclaimer: Massachusetts Mortgage Lender License #ML292473. Reliant Home Funding, Inc. NMLS #292473. Equal Housing Lender. Licensed in Massachusetts. Loans subject to borrower qualifications, property evaluation, and credit approval. All rates and program guidelines subject to change without notice. Rates may vary by individual qualifications.