minimum down payment for FHA loan

Your Down Payment Comfort Level

When you are considering home ownership, it is wise to set aside the difference between your current rent and your ideal monthly mortgage payment.  For example, if your rent is $600 and you plan to pay $1,000 for a PITI payment, set aside $400 per month for 90 to 180 days. Make sure the mortgage payment won’t be a struggle for you and your family.

A dream home is not a necessity. Buying the most expensive home you are qualified to buy is not always the best decision as a starter home. With a starter home, you can work first on building equity and security for yourself and your family.

The minimum down payment for a FHA loan is 3.5% of the purchase price saved for your down payment.  For a conventional loan, you’ll need around 10% of the purchase price for your down payment.  There are still no down payment home loans available if you can qualify for a VA loan or USDA loan that offer mortgage down payment assistance.