If you’re putting less than 20% down on a conventional loan, you’ll likely be required to pay Private Mortgage Insurance (PMI). This protects the lender in case of default. The good news? You can request to remove PMI once your loan-to-value (LTV) drops below 80%, or it will automatically drop off after a certain number of years.

For FHA loans, the insurance is called a Mortgage Insurance Premium (MIP). This works similarly but cannot be removed unless you refinance out of the FHA loan or pay it off completely.