Down Payment Calculator

About the Down Payment Calculator

Your down payment is the single largest upfront cost of buying a home, and it directly affects your monthly payment, whether you pay PMI, and your home equity from day one. Our down payment calculator helps you understand the relationship between down payment size, loan amount, monthly payment, and total interest paid — and shows you how long it will take to save your target amount given your monthly savings capacity.

How It Works

Down payment = Home Price × Down Payment Percentage. This determines your loan amount (home price minus down payment). Conventional loans require 3–20% down. FHA loans require 3.5% with a 580+ credit score. VA and USDA loans allow 0% down for eligible borrowers. Putting down less than 20% on a conventional loan triggers PMI (private mortgage insurance), typically 0.5–1.5% of the loan amount per year — $125–375/month on a $300,000 loan.

Tips & Best Practices

• ✓PMI cancels automatically when your equity reaches 20% — request removal at 20% to avoid overpaying.
• ✓Down payment assistance programs exist in every US state for first-time buyers — research your state's programs.
• ✓Gift funds from family are allowed for most loan types with proper documentation.
• ✓Don't drain your entire emergency fund for a larger down payment — maintain 3–6 months of expenses.
• ✓Some lenders offer 10% down with no PMI via "piggyback" (80/10/10) loan structures.

Who Uses This Calculator

First-time buyers calculating their savings target, current homeowners planning to sell and apply equity to a new purchase, and investors evaluating minimum down payment requirements for rental properties all use this tool.