If buying FHA as most are doing now that have a mortgage it will take about 10 years to get to 78% equity assuming no upward valuation in property. FHA says you can drop the MIP in 5 years if you have better than 78% equity based on original appraisal. I wonder if most people realize that if they are in a 30 year and not paying extra that they may be far from 78% in 5 years, in fact it may take an additional 5 years years to get there.