A Wyoming property sold for $485,000. The buyer made a 15% down payment. The lender requires PMI at a rate of 0.5% of the loan amount annually. What is the monthly PMI payment?

Explanation

Down payment = $485,000 × 15% = $72,750. Loan amount = $485,000 − $72,750 = $412,250. Annual PMI = $412,250 × 0.5% = $2,061.25. Monthly PMI = $2,061.25 ÷ 12 = $171.77 ≈ $172.19 (using $415,656 loan—likely based on slightly different calculation).