Down Payment Calculator
Calculate how much to save for a down payment and compare percentages.
Down Payment Goal (20%)
$80,000
$60,000 remaining -- 3 yr 4 mo to goal
| Down % | Amount | Loan | Time to Save | PMI |
|---|---|---|---|---|
| 5% | $20,000 | $380,000 | Ready! | Yes |
| 10% | $40,000 | $360,000 | 1 yr 2 mo | Yes |
| 15% | $60,000 | $340,000 | 2 yr 3 mo | Yes |
| 20%selected | $80,000 | $320,000 | 3 yr 4 mo | No |
| 25% | $100,000 | $300,000 | 4 yr 6 mo | No |
Down Payment Requirements by Loan Type
| Loan Type | Minimum Down | Notes |
|---|---|---|
| Conventional | 3% - 20% | <20% requires PMI |
| FHA | 3.5% | Credit score 580+; 10% if below 580 |
| VA | 0% | Military/veterans only |
| USDA | 0% | Rural areas; income limits apply |
| Jumbo | 10%-20% | Loans above conforming limits |
PMI (private mortgage insurance) is required on conventional loans with less than 20% down. It typically costs 0.5--1.5% of the loan amount annually. On a $400,000 loan, that's $2,000--$6,000 per year until you reach 20% equity.
The PMI cost often makes reaching 20% down worth pursuing -- but if it delays buying by years while rents and home prices rise, the math may favor buying sooner with less down.
Down Payment Assistance Programs
First-time buyers shouldn't overlook assistance programs. Most states have:
- Down payment assistance grants (free money, not repaid)
- Soft second mortgages (deferred or forgivable loans)
- Below-market interest rate programs
Search "[your state] down payment assistance" or visit the HUD website for a directory. Income limits apply, but many programs extend to moderate-income buyers. Once you know your target down payment, use our loan calculator and amortization calculator to model the full picture.
Free Down Payment Calculator
A down payment is the upfront cash portion of a home purchase. The standard recommendation is 20% to avoid Private Mortgage Insurance (PMI), but many buyers put down 5–15%. This calculator shows the exact dollar amount needed at different percentages, how long it will take to save based on your current savings and monthly savings rate, and a comparison table across common down payment levels.
The savings timeline is calculated as: Months = (Goal - Current Savings) / Monthly Savings. For a more accurate projection, the calculator can factor in interest earned on savings if you specify an expected rate.
Down Payment Trade-Offs
A larger down payment means a smaller loan, lower monthly payments, no PMI (at 20%+), and typically a better interest rate. But it also means more cash tied up in your home and less available for other investments, emergency funds, or home improvements. There's no universally "right" amount — it depends on your financial situation, local market conditions, and how quickly you want to buy. First-time buyer programs, FHA loans (3.5% minimum), and VA loans (0% for veterans) offer lower down payment options.