Minimum down payment requirements on loans may have changed a little since my last update, so I wanted to review again. The interest rate you qualify for can be quite sensitive to the amount you have down (as well as credit score plus some other factors), but to follow are the minimum requirements to get into the housing market. All options assume a purchase of a primary residence.
- Conforming loan amounts (up to $484,350): 5% down. 3% down is allowable for low tomoderate-income limitations or designated Underserved Areas.
- High-balance loan amount (above $484,350 and up to the county’s high balance loan limit. High-cost counties’ limit is $726,525): 5%
- Jumbo loan amount: 10% for better-rate programs; 5% down okay on portfolio loans (but carries a higher interest rate)
- FHA 3.5% down, up to your county’s high balance loan limit <$726,525 in high-cost counties>
- VA 0% down, up to your county’s high balance loan limit <$726,525 in high-cost counties>
- USDA 0% down, up to the conforming loan limit ($484,350)
There may be overlays, depending on occupancy type and credit score. If you have a specific scenario you would like to review with me, please call or email.