💰How much down payment do you need for a home?

Buying a home is a huge financial step, and for many, saving for the down payment feels like the biggest challenge. But here’s the good news: you don’t necessarily need to put down 20%!

Here’s a quick breakdown of what you need to know:

• What is a down payment? It's the initial money you pay upfront, and it helps lower your loan amount.
• Do you really need 20% down? While 20% down can save you from paying private mortgage insurance (PMI), many buyers, especially first-time homebuyers, put down much less. In fact, the average down payment is closer to 6-7% for first-timers.
• Low-down-payment options: There are several programs designed to help, including:

• Saving tips: Start small by setting up an automatic savings plan, cutting unnecessary expenses, and exploring down payment assistance programs.

Your down payment choice should balance affordability with your future goals. Whether you can put down 20% or just 3%, there are options to get you into your dream home.

Once you’ve assessed your options, compare mortgage rates easily and learn more about your options here.

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