Down Payment Calculator
See how your down payment affects loan amount, PMI, and monthly cost.
This tool is for informational and educational purposes only. It is not a substitute for professional financial, medical, legal, or engineering advice. See Terms of Service.
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This calculator helps you understand exactly how much cash you need upfront and how it affects your mortgage:
- Enter the home price. Type the purchase price of the home you are considering. If you are still browsing, try a few different values to see how costs change.
- Choose a down payment percentage. Select from common options: 3% (conventional minimum), 3.5% (FHA), 5%, 10%, 15%, 20% (avoids PMI), or 25%. The calculator instantly shows the dollar amount.
- Set the interest rate and loan term. Enter your expected mortgage rate and choose 15 or 30 years. These affect your monthly payment estimate.
- Review results. You will see the down payment in dollars, loan amount, monthly payment, and whether PMI applies. If your down payment is below 20%, the estimated monthly PMI cost is included.
Use the Share button to send a specific scenario to your partner or real estate agent with all inputs pre-filled.
About Down Payments
Your down payment is the portion of the home price you pay upfront in cash. The rest becomes your mortgage loan. A larger down payment means a smaller loan, lower monthly payments, and less total interest. Putting 20% or more down eliminates the need for private mortgage insurance (PMI), which can save hundreds per month.
Common down payment amounts vary by loan type: conventional loans require as little as 3%, FHA loans require 3.5%, and VA/USDA loans may require 0% down for eligible borrowers. This calculator helps you compare these scenarios side by side.
Frequently Asked Questions
How much should I put down on a house?
The ideal down payment depends on your financial situation. 20% avoids PMI and gives you the lowest monthly payment relative to loan size. However, putting less down lets you buy sooner and keep cash reserves. Most financial advisors recommend at least 10% if possible, but many buyers start with 3-5%.
What is PMI and when does it go away?
Private Mortgage Insurance (PMI) is required when your down payment is less than 20% of the home price. It protects the lender if you default. PMI typically costs 0.3% to 1.5% of the loan amount per year. It automatically drops off when your loan balance reaches 80% of the original home value.
Is it better to put 20% down or invest the difference?
This depends on your mortgage rate, expected investment returns, and risk tolerance. If your mortgage rate is 7% and you can invest at 10%, investing the difference may yield more over time. But 20% down eliminates PMI and guarantees savings equal to the PMI cost. Run both scenarios with actual numbers before deciding.