The amount you need for a down payment on a house varies depending on the type of loan, your credit score, and whether you are a first-time buyer or a repeat buyer. Here are the key points:
- You do not have to put 20% down. The 20% down payment is a common myth and mainly helps avoid mortgage insurance and lowers lender risk, but many buyers put down less
- The average down payment for first-time buyers is between 8% and 13% , with the median around 9% for first-time buyers and about 15% overall in the U.S. as of early 2025
- Median down payment amounts vary widely by location and buyer history. Repeat buyers tend to put down more (around 18% median) than first-time buyers
- Minimum down payment requirements by loan type:
- Conventional loans: as low as 3% down if you qualify (credit score 620+)
- FHA loans: 3.5% down with credit score 580+, 10% if credit score is 500-579
- VA loans: 0% down for eligible veterans and service members
- USDA loans: 0% down for eligible rural/suburban buyers meeting income limits
- Jumbo loans: typically 5-10% down or more
- The typical dollar amount for down payments is rising with home prices and mortgage rates. For example, the median down payment was about $54,310 (15%) in January 2025, and some data shows typical down payments around $63,000 (16%)
- For homes priced up to $500,000, the minimum down payment is usually 5%; for homes between $500,000 and $1 million, it can be 10%; and for homes over $1 million, 20% is often required
In summary, while 20% down is ideal to avoid mortgage insurance and reduce monthly payments, many buyers successfully purchase homes with down payments as low as 3% to 5%, depending on loan programs and qualifications. The average first-time buyer puts down about 8-13%, and the median down payment nationwide is around 15% as of 2025
