Last updated: July 27, 2026 · Verified against HUD, lender official data
80-10-10 Piggyback Loan Lenders 2026: Escape PMI with 10% Down
Put 10% down. Pay $0 PMI. An 80-10-10 piggyback loan splits your mortgage into two loans — 80% first + 10% second — so you avoid PMI entirely. On a $500K home, that saves $208/month vs paying PMI. Here are the top 5 piggyback lenders ranked by rate and approval speed.
10%
Min Down
No
PMI Required
680
Min Credit
6.50%
Best First Rate
⚡ Top 5 Piggyback Loan Lenders (July 2026)
No PMI Required| # | Lender | 1st Rate | 2nd Rate | Min Credit | Close | Best For | Apply |
|---|---|---|---|---|---|---|---|
| #1 | Rocket Mortgage 🏆 BEST OVERALL | 6.50% | 8.25% | 680 | 30-40d | Best overall piggyback program | Check Rates → |
| #2 | KeyBank 🎯 SPECIALIST | 6.55% | 8.00% | 700 | 35-45d | 80-10-10 specialist, East Coast | Check Rates → |
| #3 | TD Bank | 6.60% | 8.15% | 680 | 35-45d | Competitive second mortgage rates | Check Rates → |
| #4 | Bank of America 🏦 BIG BANK | 6.55% | 8.30% | 700 | 35-50d | Best for existing BofA customers | Check Rates → |
| #5 | Guild Mortgage 🏠 JUMBO | 6.60% | 8.25% | 680 | 30-45d | Best for jumbo piggyback loans | Check Rates → |
What Is an 80-10-10 Piggyback Loan?
An 80-10-10 piggyback loan is a mortgage strategy that lets you buy a home with 10% down and no PMI. Here's how it works:
- 80% — First Mortgage: A standard 30-year fixed or ARM covering 80% of the purchase price. Since the LTV is 80%, no PMI is required.
- 10% — Second Mortgage: A home equity loan or HELOC covering 10% of the purchase price. Rate is typically 1.5-2.5% higher than the first mortgage.
- 10% — Your Down Payment: Cash from your savings covering the remaining 10%.
The key benefit: PMI is eliminated because the first mortgage never exceeds 80% LTV. On a $500K home, PMI would cost ~$208/month ($2,500/year). The piggyback second loan costs more in interest, but the interest is tax-deductible (PMI deductibility phases out at higher incomes). Net savings: $50-$150/month after taxes.
Even better: you can pay off the second mortgage early and eliminate that payment entirely. With PMI, you're stuck until you reach 78% LTV or refinance. See if a piggyback beats PMI for you →
80-10-10 vs PMI: Which Is Cheaper?
| Feature | 80-10-10 Piggyback | Conventional + PMI |
|---|---|---|
| Down Payment | 10% | 10% |
| PMI Cost | $0 | $208/mo ($2,500/yr) |
| 1st Mortgage Rate | 6.50% | 6.50% |
| 2nd Mortgage Rate | 8.25% | N/A |
| Tax Deductible | Yes (both loans) | Phase-out at $109K AGI |
| Monthly Cost (after tax) | $3,012 | $3,162 |
| Annual Savings | $1,800 | $0 |
| Can Eliminate Early | Yes (pay off 2nd) | No (wait for 78% LTV) |
Example: $500K home, 10% down, 6.50% first rate, 8.25% second rate, 24% tax bracket. Actual savings vary by rate, tax bracket, and loan amount.
80-10-10 Requirements: Do You Qualify?
✅ You Qualify If:
- • Credit score 680+
- • 10% down payment in cash
- • DTI ratio below 43%
- • 2 years of steady employment
- • Sufficient income for both loan payments
- • Property is primary or second home
❌ You Don't Qualify If:
- • Credit score below 680
- • Less than 10% down payment
- • DTI ratio above 43%
- • Buying an investment property (most lenders)
- • Recent bankruptcy or foreclosure
💡 Pro tip: The 80-10-10 is especially powerful for jumbo loans (above $766,550 conforming limit). Jumbo loans typically require 20% down — but a piggyback lets you put just 10% down and avoid jumbo PMI entirely. Check jumbo piggyback rates →
How to Get an 80-10-10 Loan: Step-by-Step
Check Your Credit (680+ Required)
Pull your credit report. You need 680+ for most piggyback programs. Higher scores get better rates on both loans.
Save 10% Down Payment
On a $500K home, that's $50K. Gift funds from family are allowed by most lenders.
Get Pre-Approved with a Piggyback Lender
Not all lenders offer 80-10-10. You need a lender that does both first and second mortgages. Compare from our table above.
Get Pre-Approved Now →Close on Both Loans Simultaneously
Both loans close at the same time, on the same day. You make two monthly payments — one to each lender (or one if the same lender holds both).
Pay Off the Second Mortgage Early
Any extra cash? Apply it to the second mortgage. Once it's paid off, your monthly payment drops significantly — and you're PMI-free forever.
80-10-10 Cost Example: $500K Home
| Item | 80-10-10 Piggyback | Conventional + PMI |
|---|---|---|
| Purchase Price | $500,000 | $500,000 |
| Down Payment (10%) | $50,000 | $50,000 |
| 1st Mortgage (80%) | $400,000 @ 6.50% | $450,000 @ 6.50% |
| 2nd Mortgage (10%) | $50,000 @ 8.25% | N/A |
| PMI Monthly | $0 | $208/mo |
| 1st Payment | $2,528 | $2,844 |
| 2nd Payment | $376 | N/A |
| PMI Payment | $0 | $208 |
| Total Monthly | $2,904 | $3,052 |
| Monthly Savings | $148 | $0 |
| Annual Savings | $1,776 | $0 |
Escape PMI with 10% Down
Compare piggyback lenders in 60 seconds. Soft pull, no credit impact.
Compare Piggyback Lenders →FAQs
What is an 80-10-10 piggyback loan?
Two loans: 80% first mortgage + 10% second mortgage + 10% down. Avoids PMI because the first mortgage stays at 80% LTV. Compare piggyback lenders →
Is an 80-10-10 cheaper than PMI?
Usually yes. On a $500K home, piggyback saves ~$148/month after tax deductions. Plus you can pay off the second loan early — PMI requires waiting for 78% LTV. See if piggyback beats PMI for you →
Which lenders offer 80-10-10 loans?
Rocket Mortgage, KeyBank, TD Bank, Bank of America, Guild Mortgage. Not all lenders offer piggyback — you need one that does both first and second mortgages. Get pre-approved with a piggyback lender →