How much do I need to save for a down payment on a house?
Buying a home is one of the biggest financial decisions you can make. Considering the down payment requirement is likely top of mind as you prepare your financials and discover what is within your comfort zone for borrowing. So, let’s take a closer look at the specific down payments for different loan types on a primary residence and give you a better idea of what to expect.
VA and USDA loans have a 0% down payment guarantee as long as you qualify and meet the requirements. These loans are insured by the government, allowing you less strict requirements and the flexibility of a zero-down loan.
A Conventional loan typically requires 3% down but can vary depending on the lender.
FHA loans require at least 3.5% down but can be impacted by your credit score.
For a Jumbo loan (a loan that doesn’t conform to traditional guidelines of Fannie Mae and Freddie Mac), you can expect a down payment of 5%.
Ready to Crunch the numbers about how much you need to save for a down payment?
This is information you’ll need as you look at how the amount you pay down affects your monthly payments. If you’re ready to crunch the numbers and see what you can comfortably afford, reach out! I have tools and resources to help you discover where you want to be, and I am here to help when you’re ready to get the process started.
Is there a topic you would like to hear more about? Contact Taylor and let me know!