Down Payment Calculator
See how your down payment affects your monthly payment, PMI, and total cost.
Your Monthly Payment
$2,022.62
No PMI needed (20%+ down)
How Down Payment Affects Payment
💡 Plain English: Putting 20% down on a $400,000 home means a $320,000 loan. You have 20%+ down, so no PMI is needed. Compare: at 20% down, you'd pay $2,022.62/mo — that's $537.57/mo less than 5% down.
About the Down Payment Calculator
Your down payment is the upfront cash you put toward a home purchase, and it directly reduces the amount you have to borrow. This calculator shows how different down payment amounts change your loan size, monthly payment, and total interest.
How this calculator works
Enter the home price, then adjust the down payment as a dollar amount or percentage. The calculator shows your loan amount, estimated monthly payment, and how much interest you would pay over the loan term.
The math, in plain English
Loan amount = home price − down payment. Monthly payment is then computed from the loan amount, interest rate, and term using the standard amortization formula.
Key terms
- •Down payment — upfront cash paid toward the purchase
- •Loan-to-value (LTV) — the loan amount divided by the home price
- •Equity — the portion of the home you own outright (home price minus loan)
Tips & things to know
- ✓Putting 20% down removes the need for private mortgage insurance (PMI).
- ✓A larger down payment shrinks your loan, lowering both your payment and total interest.
- ✓Some loan programs (FHA, VA, USDA) allow low or zero down payments with qualifying.
Frequently asked questions
Do I have to put 20% down?+
No. Many loans allow as little as 3–5% down (or zero for VA and USDA), but less than 20% usually requires PMI on a conventional loan.
Is a bigger down payment always better?+
A larger down payment lowers your payment and interest, but you should keep enough cash reserved for closing costs, moving, and emergencies.
This calculator is for educational purposes only and uses estimates. Always consult a licensed mortgage professional for advice specific to your situation.