Educational Materials Booklets
Educational Guide

Down Payments & Assistance

One of the biggest myths in real estate is that you need 20% down. In reality, many buyers put down far less. Here's what to know.

How much do you need?

Down payment minimums depend on the loan: 0% for VA (eligible borrowers), 3.5% for FHA, and as little as 3% for some conventional programs. Putting down 20% on a conventional loan lets you skip PMI.

More vs. less down

A larger down payment lowers your monthly payment and total interest and can improve your rate. A smaller down payment lets you buy sooner and keep cash in reserve. Neither is universally “right.”

Assistance programs

Many states and cities offer down payment assistance, grants, or favorable loans for first-time and moderate-income buyers. Start with HUD's resources and your state housing finance agency, and ask a HUD-approved housing counselor.

Remember: HomeWise is an educational resource, not a lender. Always confirm current figures and terms with a licensed mortgage professional.
Keep Learning

Related Guides