How Much Do You Need for a Down Payment on a Home?
The largest upfront expense you must consider when buying a home is a down payment.
Purchasing a home is a big investment. Not only is it a place for you and your family to settle down, but it also comes with many costs.
The largest upfront expense you must consider is a down payment.
The size of a down payment on a home depends on your mortgage and some other factors, like your credit score. For a standard 30-year fixed-rate loan, a 20 percent down payment is ideal.
That means if you're purchasing a home for $300,000, you should have at least $60,000 saved first.
But there are also other loans to consider. A government-backed FHA loan is only 3.5% of the home’s purchase price. And some people are eligible for loans with no down-payment requirement.
Before purchasing a home, you must calculate how much you need for a down payment. For more information on financing a new home and other loan* options, contact your local Vectra Bank representative.
*Credit approval required. Terms and conditions apply. See banker for details. Equal Housing Lender. NMLS #467014