Finance
Down Payment Calculator
Calculate your home down payment
Loan Types & Minimum Down Payments
Conventional
3%+Standard mortgage
FHA
3.5%+Gov. insured
VA
0%Veterans only
USDA
0%Rural areas
Private Mortgage Insurance (PMI)
PMI is required when your down payment is less than 20% of the home price for conventional loans.
Typical PMI Rate:0.5% - 1% annually
PMI Removal:At 80% LTV
VA loans do not require PMI. FHA loans have MIP (Mortgage Insurance Premium) instead.
Down Payment Formula
Down Payment = Home Price × (Percentage / 100)
Loan Amount = Home Price - Down Payment
LTV = (Loan Amount / Home Price) × 100
What is a Down Payment?
A down payment is the initial upfront payment you make when purchasing a home. It represents your equity in the property from day one.
- Larger down payments mean smaller loans
- 20% down avoids PMI on conventional loans
- Lower LTV ratios often get better interest rates
- Down payment shows lenders you're financially stable
Tips for Saving Your Down Payment
- Set up automatic transfers to a dedicated savings account
- Consider down payment assistance programs
- Look into first-time homebuyer programs
- Reduce unnecessary expenses and redirect to savings
- Consider a side income or freelance work
- Check if family gift funds are allowed by your lender
Important Disclaimer
Down payment calculations are estimates and may vary based on lender requirements and local regulations. Actual closing costs, PMI rates, and other fees may differ. Consult a mortgage professional for personalized advice.