Down Payment Calculator
See how much you need upfront and what your monthly mortgage payment would be.
How to use
- Enter the home price, your planned down payment percentage, the interest rate and the loan term.
- Click Calculate.
- See your down payment, loan amount, monthly payment and any PMI note instantly.
Estimates only — not financial advice. Verify important decisions with a qualified professional.
What Is a Down Payment Calculator?
A down payment calculator answers the two questions every home buyer asks first: how much cash do I need upfront, and what will my monthly mortgage payment look like? Enter the home price and the percentage you plan to put down, and the tool converts that percentage into an exact dollar figure, then estimates the monthly principal-and-interest payment on the loan that remains. It turns saving for a home from a vague target into a specific number with a timeline attached.
The down payment percentage matters beyond the cash itself. Putting down 20% or more typically removes the need for private mortgage insurance (PMI) on a conventional loan, and a larger down payment shrinks the loan balance, which lowers the monthly payment and the total interest paid over the term. On the other side, draining every dollar of savings into a down payment leaves nothing for moving costs, repairs, and the emergency fund a new homeowner genuinely needs.
How to Use the Down Payment Calculator
- Enter the home price you are targeting.
- Enter the down payment percentage you are considering — try several, such as 3%, 10%, and 20%, to compare.
- Enter the mortgage interest rate and loan term in years.
- Click Calculate to see the down payment amount in dollars and your estimated monthly payment.
How Much Do Buyers Typically Put Down?
First-time buyers in the US often put down far less than 20% — many programs allow 3% to 3.5% down, and qualified veterans and rural buyers may have zero-down options through VA and USDA loans. The trade-offs of a small down payment are a larger loan, a higher monthly payment, and usually mortgage insurance on top. A larger down payment reverses all three but takes longer to save. Neither choice is universally right; it depends on how long you will keep the home, how stable your income is, and what remains in reserve after closing.
Tips for Saving a Down Payment
- Do not forget closing costs — typically 2% to 5% of the price — which are due at the same time as the down payment.
- Check state and local first-time-buyer assistance programs; many offer grants or low-interest second loans for the down payment itself.
- Keep the money in a safe, liquid account such as a high-yield savings account — money needed within a year or two should not ride the stock market.
What is PMI and when do I have to pay it?
Private mortgage insurance protects the lender if you default, and it is usually required on conventional loans when the down payment is under 20%. It is added to your monthly payment and can typically be removed once your loan balance falls to 80% of the home's value.
Is it better to put 20% down or buy sooner with less?
It depends on prices, rates, and your situation. Buying sooner with a smaller down payment gets you into the home earlier but costs more per month and includes PMI. Waiting to reach 20% avoids PMI but risks prices or rates rising meanwhile. Run both scenarios through the calculator and compare the monthly payments honestly.
Does the calculator include closing costs?
No — it calculates the down payment and the loan payment. Closing costs (lender fees, title, appraisal, prepaid taxes and insurance) are separate and commonly add 2% to 5% of the home price. Budget for them on top of the down payment figure shown here.
Can I use gift money for a down payment?
Usually yes. Most loan programs allow some or all of the down payment to come from a family gift, though lenders typically require a gift letter confirming the money does not need to be repaid. Rules vary by loan type, so confirm with your lender early.