When it comes to buying a home, one of the first questions most buyers ask is: “How much do I need for a down payment?”

Many people still believe they need to put down 20%, but that’s actually a common misconception. While a 20% down payment can help you avoid paying private mortgage insurance (PMI), you don’t need that much to buy a home.

For a conventional home loan, the minimum down payment can be as low as 3%.

That means if you’re purchasing a $400,000 home, you could potentially put down just $12,000 — not $80,000.

Why This Matters

Understanding your options can open doors (literally!) to homeownership sooner than you might think. There are also programs designed to help first-time buyers with down payment assistance or more flexible credit requirements.

The Bottom Line

You may not need as much money upfront as you thought to buy a home. If saving for a large down payment has been holding you back, it might be time to take a fresh look at your options.

Let’s connect to explore what kind of loan and down payment fit your goals and budget — and get you one step closer to owning your own home.