Find your down payment amount, mortgage payment, and how long it takes to save — including PMI analysis.
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Home & Loan Details
20%
Savings Plan
Down Payment
$80,000
20% of home price
Loan Amount
$320,000
to finance
$0
Monthly P&I
$0
Payment with PMI
PMI Required
Monthly PMI Cost$0
PMI drops off after—
Time to Save Your Down Payment
—
Still need to save$0
Monthly savings$0
Your Down Payment vs. 20%
Monthly payment difference$0
Total interest difference$0
PMI savings (vs. current)$0
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Frequently Asked Questions
You need at least 20% down to avoid PMI on a conventional loan. With less than 20%, lenders require Private Mortgage Insurance (PMI), which typically costs 0.5%–1.5% of the loan per year. PMI can be removed once you reach 20% equity through payments or appreciation — you must request it in writing when you hit that threshold.
Most conventional loans allow as little as 3% down through programs like Fannie Mae HomeReady or Freddie Mac Home Possible. Standard conventional loans typically require 5% down. Any conventional loan with less than 20% down requires PMI. First-time homebuyers, veterans, and income-qualified borrowers may have access to lower down payment options.
Generally yes, but the effect is modest. A lower loan-to-value (LTV) ratio reduces lender risk and may improve your rate by 0.125%–0.375%. The bigger benefit of 20% down is eliminating PMI, which saves more money per month than the rate reduction alone. Above 80% LTV (20% down), additional down payment typically has minimal impact on rate.
FHA loans require 3.5% down with a credit score of 580 or higher. Borrowers with scores between 500–579 need at least 10% down. FHA loans also require Mortgage Insurance Premium (MIP) — an upfront cost of 1.75% of the loan amount plus an annual premium of 0.15%–0.75%. Unlike conventional PMI, FHA MIP typically stays for the life of the loan if you put less than 10% down.
For educational purposes only. Not financial advice. Consult a licensed mortgage professional.