How can I avoid PMI when I buy?

Avoiding PMI when you buy usually means putting down a large enough down payment on a conventional loan, using a VA loan if you're an eligible veteran, since VA loans never charge mortgage insurance, or choosing lender-paid mortgage insurance built into a slightly higher rate instead of a separate monthly charge. Each option trades cost differently depending on how long you plan to keep the loan. A lender can compare these paths for a specific buyer.