Down Payment Calculator

See how much you need for a down payment — or how long it'll take to save.

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For estimated monthly payment

How to Use This Calculator

How Much tab

Enter the home price, select your down payment percentage from the dropdown, and input your expected mortgage interest rate. The calculator instantly shows your down payment amount, whether PMI applies, and your estimated monthly mortgage payment.

Savings Plan tab

Enter the home price, down payment percentage, your current savings, how much you can save per month, and the interest rate on your savings account. The calculator shows how long it will take to reach your down payment goal.

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The Formula

The down payment is a straightforward percentage of the home's purchase price. If you put less than 20% down, most lenders require private mortgage insurance (PMI), which adds to your monthly cost.

Down Payment = Home Price × Down Payment %

PMI (if < 20% down) ≈ 0.5% of Loan Amount / year

Savings Goal Timeline: FV = PV × (1 + r)n + PMT × [((1 + r)n − 1) / r]

Where PV is your current savings, PMT is your monthly contribution, r is the monthly interest rate, and n is the number of months.

Example

Sophia — buying a $350K home

Sophia is looking at a $350,000 home and wants to put 20% down to avoid PMI.

How Much tab

Home price$350,000
Down payment (20%)$70,000
PMI requiredNo
Loan amount$280,000
Est. monthly mortgage~$1,770/mo

By putting 20% down, Sophia avoids PMI entirely and borrows $280,000. At current rates, that's roughly $1,770 per month (principal + interest).

Sophia — savings plan to reach $70K

Sophia has $20,000 saved so far and needs $50,000 more. She can save $1,500 per month in a high-yield savings account earning 4% APY.

Savings Plan tab

Down payment goal$70,000
Current savings$20,000
Remaining needed$50,000
Monthly contribution$1,500
Savings interest rate4% APY
Time to goal~2 years 6 months

With compound interest on her savings, Sophia can reach her $70,000 down payment in about 2 years and 6 months — slightly faster than saving without interest.

FAQ

It depends on the loan type. Conventional loans require as little as 3% down. FHA loans require 3.5% with a credit score of 580 or higher. VA loans and USDA loans offer 0% down payment for eligible borrowers (veterans/military and rural homebuyers, respectively). However, putting less than 20% down typically means you'll pay PMI.
PMI typically costs 0.3%–1.5% of the original loan amount per year, with ~0.5% being a common estimate. On a $280,000 loan, that's roughly $1,400/year or $117/month. You can request PMI removal once you reach 20% equity in your home, and your lender must automatically cancel it when you hit 22% equity based on the original value.
A high-yield savings account (HYSA) is the best option for most buyers. HYSAs currently offer 4–5% APY with no risk to your principal — important since you'll need this money within a few years. Avoid investing down payment funds in the stock market; a downturn at the wrong time could delay your purchase. CDs are another safe option if you have a fixed timeline.
Yes. Many states and cities offer down payment assistance (DPA) programs for first-time buyers, including grants, forgivable loans, and low-interest second mortgages. Federal programs like FHA loans (3.5% down) and VA loans (0% down) also reduce the barrier. Check your state's housing finance agency website for local programs — eligibility often depends on income limits and purchase price caps.

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