Quick answer: There is no single down-payment requirement for every home loan. Some qualified borrowers may buy with 3% down on a conventional loan, FHA commonly begins at 3.5%, and eligible VA or USDA borrowers may have a zero-down option. Investment properties, multi-unit homes, second homes, and certain property types generally require more.
Down payment is only part of the cash needed
Buyers should also plan for lender and title charges, appraisal, prepaid property taxes, homeowners insurance, initial escrow deposits, inspections, and possible reserves. Seller credits or assistance programs may reduce some of those costs, but limits and qualification rules apply.
More down is not automatically better
A larger down payment may lower the loan amount, payment, and mortgage insurance. However, using every available dollar can leave a homeowner without funds for repairs, moving costs, or emergencies. The best amount balances the monthly payment with a healthy post-closing reserve.
Common program starting points
- Conventional: Low-down-payment options may be available to qualified primary-residence buyers.
- FHA: Commonly 3.5% down for borrowers who meet the applicable credit requirements.
- VA: Eligible borrowers may qualify with no required down payment, subject to entitlement, value, and lender approval.
- USDA: Eligible borrowers and eligible rural properties may qualify with no required down payment.
Assistance may also be available through state or local programs. Review the Idaho first-time buyer guide or Oregon first-time buyer guide. You can also compare monthly costs with the mortgage calculators.
These are general examples. Qualification, minimum investment, and property rules vary by program.