What Do Buyers Pay For A Down Payment Today On A House?

When it comes to buying a home, there can be a lot of misconceptions about the process and what it takes to do so. One of the biggest misconceptions out there is that you have to have 20% down to buy a home. ⁠⠀

While there are benefits to having 20% down (you are in a better equity position, you won't have to pay PMI, etc.), it is not required. For many people (especially first time homebuyers) getting to 20% can take quite a long time. With home and rent prices rising as well as anticipated interest rate increases, ??????? ????? ??? ???? ??? ??????? ?? ???? 20% ??? ???????? ?? ???? ?????? ?? ??? ???.⁠⠀
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Working with a great lender is crucial to understanding downpayment options. The average first time homebuyer puts down 7%, but there are plenty of buyers who put down less and take advantage of loan programs that allow for a smaller downpayment. ⁠⠀
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Did you know that conventional loans can be as little as 3% down, FHA as little as 3.5% and in the state of Michigan we also have a program called MSHDA that can even provide downpayment assistance. If you are a veteran or buying in an area classified as rural you may even qualify to put 0% down!⁠⠀
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There are many ways to structure a loan and a good lender will layout all of your options and help you determine which one will help you best meet your financial goals. If you need connected with a local lender, message me as I work with the best in the area! ⁠⠀
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Also, whether you are looking to buy your first home, a move up home, 2nd home or investment property, I am here to help. Call me with any questions you have!⁠⠀