Three ways into the same question — how much house, and how much cash? Start from the cash you have saved, from a home price you are eyeing, or from both together. Each calculator counts closing costs as well as the down payment, because the cash you need at closing is always the two combined.
You know your cash and the percentage you want to put down. What home price can you afford?
You know the price and the percentage. How much cash do you need at closing?
You know the price and your cash. What down payment percentage does that work out to?
Short of the cash you need? Set the target from any result above, add what you have already saved and what you can set aside monthly, and see the month you get there — interest on your savings included.
A down payment is the slice of a home's price you pay yourself, in cash, at closing; the mortgage covers the rest. It is usually quoted as a percentage of the price — on a $250,000 home, 3.5% is $8,750 and 20% is $50,000 — and it does two jobs at once. It shrinks the loan you need, and it gives you instant equity: a cushion that protects both you and the lender if prices dip. What first-time buyers most often miss is that the down payment is only part of the cash due at closing, which is why every calculator on this page adds closing costs on top.
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Beyond the down payment, closing day brings lender fees, an appraisal, title insurance, an inspection, a survey, and prepaid property taxes and homeowners insurance. A serviceable rule of thumb is about 3% of the price — the default in these calculators — though the realistic range runs roughly 2–5% depending on your state and lender. On the second calculator's defaults that is $15,000 on top of a $100,000 down payment: buyers who save exactly 20% and stop are $15,000 short on the day it matters.
Conventional loans (the Fannie Mae / Freddie Mac standard) go as low as 3% down for qualified buyers, but below 20% you will pay private mortgage insurance (PMI) — around 0.5% of the loan per year in our estimate — until the balance falls to 80% of the value. FHA loans allow 3.5% down with more forgiving credit, in exchange for an upfront premium of 1.75% of the loan plus annual mortgage insurance — run the full numbers on our FHA loan calculator. VA loans (and USDA loans in eligible rural areas) allow zero down for eligible buyers with no monthly mortgage insurance at all — see the VA mortgage calculator.
More down buys you a smaller loan, less lifetime interest, a lower payment, often a better rate — and at 20%, no PMI. It also concentrates a large sum in a single illiquid asset: money in the walls cannot pay off a 24% credit card, fund a renovation, or sit in an emergency fund, and if home values fall early on, a large down payment falls with them. Less down preserves flexibility and gets you in sooner — while prices and rents keep moving — at the cost of PMI and more interest. There is no universal right answer; there is only the answer that survives contact with your actual budget, which is what the three calculators above are for. Lenders, for their part, prefer larger down payments because borrower cash at risk means fewer defaults.
Savings is the classic route — ideally in a high-yield savings account or CD, where the money earns something without market risk; the plan in section 4 above times that route for you. Gift funds from family are widely accepted (FHA allows the entire down payment to be a gift) with a signed gift letter. Down payment assistance — state and local grants and forgivable loans, catalogued on HUD's website — helps need-based first-time buyers, though it usually requires decent credit and documented income. A piggyback loan (the "80-10-10": an 80% first mortgage, a 10% second loan, 10% cash) can dodge PMI when cash is short. Finally, retirement accounts are a last resort with sharp edges: first-time buyers may withdraw up to $10,000 from an IRA penalty-free for a home purchase, and 401(k) loans avoid tax but must be repaid — typically within five years — and can complicate mortgage approval.
From 0% (VA/USDA) and 3–3.5% (conventional/FHA minimums) up to 20% to skip PMI. On $500,000: $15,000 at 3%, $17,500 at 3.5%, $100,000 at 20% — plus closing costs.
No. Add closing costs — roughly 3% of the price as a planning figure — plus moving costs and a post-move reserve. The calculators here combine down payment and closing costs into the true cash figure.
Expect PMI on a conventional loan until you reach 80% loan-to-value, and a bigger loan with more interest overall. The third calculator shows your exact percentage and flags the PMI case.
Yes, in most programs — FHA allows it to be entirely gifted. Lenders require a gift letter confirming no repayment is expected.
Disclaimer: This calculator provides estimates for educational purposes only and does not constitute financial advice. Monthly payments shown are principal and interest only; taxes, insurance, and PMI are not included.