How Much Money to Put Down on A House Calculator

Buying a home is one of the biggest financial decisions you'll make. One of the most important factors to consider is how much money you should put down as a down payment. This initial deposit affects your mortgage terms, interest rates, and overall affordability. Our down payment calculator helps you determine the right amount to put down based on your home price and loan type.

What is a down payment?

A down payment is the initial amount of money you pay when purchasing a home. It's typically expressed as a percentage of the home's purchase price. For example, a 20% down payment on a $300,000 home would be $60,000.

The down payment reduces the loan amount you need to borrow, which can lead to better mortgage terms, lower interest rates, and potentially lower monthly payments. It also shows lenders that you're a serious buyer.

Down payments are different from closing costs, which include fees for appraisal, title insurance, and other expenses required to finalize the purchase.

How much down payment do you need?

The amount of down payment you need depends on several factors:

The type of loan you're using (conventional, FHA, VA, or USDA)
Your credit score
The home's price and location
Your financial situation and savings

Minimum down payment requirements

Here are the minimum down payment requirements for common loan types in the US:

Loan Type	Minimum Down Payment	Maximum Loan-to-Value Ratio (LTV)
Conventional Loan	3% - 20%	97% - 80%
FHA Loan	3.5%	96.5%
VA Loan	0%	100%
USDA Loan	0%	100%

Loan-to-Value Ratio (LTV) is calculated as:

LTV = (Loan Amount) / (Home Price)

Where Loan Amount = Home Price - Down Payment

Recommended down payment amounts

While you can put down as little as 3% on a conventional loan, many experts recommend putting down at least 10-20% for several reasons:

Lower monthly mortgage payments
Lower interest rates
No private mortgage insurance (PMI)
Better financial position if you need to sell quickly

Putting down 20% is often considered the sweet spot because it provides these benefits without requiring a large upfront investment.

How to use this calculator

Enter the price of the home you're considering
Select the type of loan you're interested in
Click "Calculate" to see your recommended down payment amount
Review the results and adjust your numbers as needed

The calculator will show you:

The minimum required down payment
The recommended down payment amount
The loan amount you would need to borrow
The loan-to-value ratio

Use this information to help you make an informed decision about how much to put down on your future home.

Frequently Asked Questions

What happens if I can't put down 20%?: You can still get a mortgage with less than 20% down, but you'll typically need to pay for private mortgage insurance (PMI) and may face higher interest rates. FHA loans require at least 3.5% down but offer lower minimum credit score requirements.
Can I put down more than 20%?: Yes, putting down more than 20% can save you money on interest and PMI, and it may allow you to qualify for better loan terms. However, you'll need to have the cash available to make the larger down payment.
Is a down payment tax deductible?: In most cases, down payments are not tax deductible. However, you may be able to deduct mortgage interest and property taxes. Consult with a tax professional for specific advice.
What if I can't afford the down payment?: There are several options if you can't afford the down payment: save more, look for a less expensive home, consider a different loan type, or explore down payment assistance programs offered by some lenders or government agencies.