LMI Calculator
LMI applies on most Australian home loans where the loan amount exceeds 80% of the property value. The premium is paid once at settlement (or capitalised into the loan) and protects the lender — not the borrower — against default.
Synthesised median premiums across major LMI insurers (Helia, QBE). Actual quote varies by insurer, lender, employment status and loan term.
Frequently asked questions
When can I avoid paying LMI?
LMI is generally not required when you borrow 80% or less of the property value (an 80% LVR). Some lenders waive LMI for borrowers in specific professions (e.g. doctors, accountants, lawyers) up to 90% LVR. First home buyers may also qualify for the federal Home Guarantee Scheme which acts as a federal guarantee in place of LMI.
Is LMI tax-deductible?
For owner-occupiers, no. For investors, the LMI premium can typically be claimed as a borrowing expense and depreciated over 5 years or the loan term, whichever is shorter. Always confirm with a registered tax agent.