Down Payment Calculator

Calculate how much down payment you need for a home purchase and see how different percentages affect your mortgage.

Down Payment Needed
$0
Loan Amount $0
Monthly Payment (P&I) $0
PMI Required? No

Full Payment Breakdown

Principal & Interest $0
Est. Property Tax (monthly) $0
Est. Home Insurance (monthly) $0
Est. Total Monthly Payment $0

Total Cost of Loan

Total of All Payments $0
Total Interest Paid $0

Down Payment Comparison

Down % Down Payment Loan Monthly
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Down Payment Guide

How Much Should You Put Down?

The traditional recommendation is 20% to avoid PMI (Private Mortgage Insurance), but many buyers put down less:

  • 3-5%: FHA loans, first-time buyer programs
  • 10%: Popular middle ground
  • 20%: Avoid PMI, lower monthly payments
  • 25%+: Better rates, lower risk profile

What is PMI?

Private Mortgage Insurance protects the lender if you default. Required when down payment is less than 20%.

Typical cost: 0.5% - 1% of loan amount per year

Example: On a $320,000 loan, PMI could be $133-$267/month

Good news: PMI can be removed once you reach 20% equity!

Benefits of Larger Down Payment

  • No PMI: At 20%, you avoid this extra monthly cost
  • Lower monthly payments: Smaller loan = smaller payments
  • Better interest rates: Lower risk often means better rates
  • Instant equity: Protection against market downturns
  • Easier approval: Shows financial stability to lenders
  • Less interest over time: Pay much less in total

Don't Forget Closing Costs

Beyond your down payment, budget for closing costs:

  • Typical range: 2-5% of home price
  • Includes: Appraisal, inspection, title insurance, attorney fees, origination fees
  • On a $400,000 home: $8,000-$20,000 in closing costs

Rule of thumb: Save down payment + 3% for closing + 3-6 months emergency fund before buying.