PMI or Purchase Mortgage Insurance will add extra payments to a loan. There are many expenses assocaited with home ownership and it is not necessary or prudent to add extra payments. Mortgage payments, Insurance and maintenece are normal expenses. You can be relived of PMI when your loan to value ratio goes below 80%. This is not automatic and each lender has different ways to do this so it is prudent to discuss this issue upfront. Buying a home is a considered purchase and it requires signicant nuber chrunching but it is worth the time and effort. Weather you are buying residential real estate or commercial real estate it is wise to have someone help you through the process.