How Much Down Payment Do You Need?

One of the biggest myths in real estate is that you need 20 percent down. In reality, many buyers put down far less. Here's a quick overview.

Down Payment by Loan Type

Conventional loans can start as low as 3 to 5 percent, FHA loans at 3.5 percent, and VA loans at 0 percent for eligible buyers. USDA loans, in qualifying areas, may also allow 0 percent down.

Benefits of a Larger Down Payment

Putting more down lowers your monthly payment, reduces interest paid over time, and can help you avoid mortgage insurance.

Benefits of a Smaller Down Payment

A smaller down payment lets you buy sooner and keep more cash in reserve. Down payment assistance programs may help further.

Find the Right Balance

As your REALTOR, I can connect you with lenders who'll help you weigh your options. Reach out and we'll find the approach that fits your goals.