Down Payment Guide
A down payment is the upfront cash you pay when purchasing a home. The standard recommendation is 20%, which avoids private mortgage insurance (PMI), but many programs allow as little as 3%.
Frequently Asked Questions
What is PMI? Private Mortgage Insurance costs 0.5-1% of the loan annually and is required if your down payment is less than 20%. It protects the lender, not you.
What's the minimum down payment? Conventional loans require 3-5%, FHA loans 3.5%, VA and USDA loans can be 0% down for qualified buyers.