Tallyroo.

Australia-wide · Lenders mortgage insurance

LMI calculator

Borrowing more than 80% of the price? This lenders mortgage insurance calculator estimates your LMI premium from published LVR bands — including your state's stamp duty on the premium.

FY 2026-27 rates · verified

Rates verified against the official sources — how we check.

Cash deposit only — don't include stamp duty or other costs you'll pay separately.

Sets the stamp duty charged on the LMI premium.

Your tally

Loan amount$540,000
Loan-to-value ratio (LVR)90%
Indicative premium (2.18% of loan)$11,772
Stamp duty on LMI (0%)$0
Estimated LMI cost$11,772

If capitalised into the loan, you'd borrow $551,772 in total.

Indicative only: premiums differ between lenders, insurers (Helia, QBE) and loan types. Your lender will quote the exact figure before settlement.

How much does LMI cost — and how this estimate works

How much LMI costs comes down to two things: your LVR (loan ÷ property value) and your loan size. Insurers publish premium rates as a percentage of the loan for each LVR band and loan bracket; your state then adds stamp duty on the premium. As a rule of thumb, LMI runs from about 0.5% of the loan just over 80% LVR to more than 4.5% at 95% LVR. The table below is the published indicative schedule this calculator uses — Indicative premium rates from a published lender example table (Home Loan Experts LMI premium rates, updated 18 May 2026), cross-referenced against Helia's public LMI fee estimator. Actual premiums vary by lender, insurer (Helia/QBE), borrower type and loan features — treat results as an estimate band, not a quote.

How much does LMI cost — and how this estimate works
LVR bandUp to $300k$300k–$500k$500k–$600k$600k–$750k$750k–$1m
80.01% – 81%0.475%0.568%0.904%0.904%0.913%
81.01% – 82%0.485%0.568%0.904%0.904%0.913%
82.01% – 83%0.596%0.699%0.932%1.090%1.109%
83.01% – 84%0.662%0.829%0.960%1.090%1.146%
84.01% – 85%0.727%0.969%1.165%1.333%1.407%
85.01% – 86%0.876%1.081%1.258%1.407%1.463%
86.01% – 87%0.932%1.146%1.407%1.631%1.733%
87.01% – 88%1.062%1.305%1.463%1.631%1.752%
88.01% – 89%1.295%1.621%1.948%2.218%2.395%
89.01% – 90%1.463%1.873%2.180%2.367%2.516%
90.01% – 91%2.013%2.618%3.513%3.783%3.820%
91.01% – 92%2.013%2.674%3.569%3.867%3.932%
92.01% – 93%2.330%3.028%3.802%4.081%4.156%
93.01% – 94%2.376%3.028%3.802%4.286%4.324%
94.01% – 95%2.609%3.345%3.998%4.613%4.603%

Stamp duty your state adds to the premium

Stamp duty your state adds to the premium
StateDuty on LMI
NSW0%
VIC10%
QLD9%
SA11%
WA10%
ACT0% (abolished)
NT10%
TAS10%

LMI by state — same loan, different bill

The premium itself doesn't change with your address, but the stamp duty your state charges on it does. Here's the identical scenario — a $500,000 purchase with a $50,000 deposit (90% LVR, premium $8,428.50) — in every state and territory:

LMI by state — same loan, different bill
StateDuty on LMIDuty addsTotal LMI cost
New South Wales (NSW)0%$8,428.50
Victoria (VIC)10%$842.85$9,271.35
Queensland (QLD)9%$758.57$9,187.07
South Australia (SA)11%$927.14$9,355.64
Western Australia (WA)10%$842.85$9,271.35
Australian Capital Territory (ACT)0%$8,428.50
Northern Territory (NT)10%$842.85$9,271.35
Tasmania (TAS)10%$842.85$9,271.35

Using this as an LMI calculator for NSW, VIC, QLD or any other state: just pick your state in the form above — the duty line updates automatically. Don't forget transfer duty is a separate, much larger cost: we have a stamp duty calculator for every state and territory.

Pay LMI now, or wait and save a 20% deposit?

There's no universal answer, but here's the honest frame for a $600,000 purchase in Victoria: buying now with $60,000 down (90% LVR) costs about $12,949.20 in LMI — the price of entering the market $60,000 short of a 20% deposit. Waiting to save the extra $60,000 avoids LMI entirely, but if prices rise faster than you save, the duty, deposit and price all grow while you wait. LMI is best understood as a fee for buying sooner; whether that's worth it depends on your market and your savings rate, not on the fee alone.

How to avoid LMI — five legitimate ways

  1. Reach 80% LVR. Even a slightly bigger deposit can drop you a whole premium band — the jump from 88% to 90% LVR, and again past 90%, is steep.
  2. Family guarantee. A guarantor offering part of their equity as security can take your effective LVR to 80% with a smaller cash deposit.
  3. Home Guarantee Scheme. Eligible buyers purchase with 5% deposit and the federal government guarantees the rest — no LMI.
  4. Professional waivers. Many lenders waive LMI to 90–95% LVR for doctors and some other professions.
  5. Capitalise it. Not avoidance — but adding LMI to the loan spreads the cost, at the price of interest on it for the life of the loan.

Frequently asked questions

What is lenders mortgage insurance (LMI)?
LMI is a one-off insurance premium most lenders charge when you borrow more than 80% of a property's value. Important: it protects the lender if you default — not you. It is usually payable at settlement, or many lenders let you add ("capitalise") it onto the loan.
How much is LMI on a 90% loan?
As a guide from published premium bands: on a $500,000 purchase with a $50,000 deposit (90% LVR, $450,000 loan) the indicative premium is about $8,429 before any state duty. The exact figure depends on your lender and insurer — use the calculator above for your numbers.
How can I avoid paying LMI?
The main routes: save a 20% deposit (80% LVR); use a family guarantor for part of the security; buy under the federal 5% deposit Home Guarantee Scheme if eligible; or work in a profession some lenders waive LMI for (commonly medical, legal and accounting professionals). Some lenders also run periodic LMI-free offers at 85% LVR.
Is LMI refundable or transferable?
Generally neither. If you refinance to another lender you usually pay LMI again if you are still above 80% LVR. Partial refunds within the first year or two exist with some insurers but are not guaranteed — ask before paying.
Why does my state change the LMI cost?
States charge stamp duty on insurance premiums, and LMI is an insurance contract. NSW and the ACT charge no duty on LMI; most other states add 9–11% on top of the premium.

Keep tallying

Embed this calculator on your site

Conveyancers, brokers, agents: add the LMI calculator to your own website free of charge. Paste this snippet anywhere HTML is accepted — it stays up to date automatically. We only ask that the attribution link stays visible.

Sources

Premium bands last verified 2026-08-27. General information only — not financial advice.