How much should I put down on a house?
Answered by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker
There's no single right answer. Twenty percent avoids PMI and lowers your payment, but putting down 3% to 5% lets you buy sooner and keep cash in reserve. The best amount depends on your goals and savings.
In an appreciating Florida market, buying sooner with less down can outweigh waiting to save 20%. We'll compare the monthly cost and cash position at several down payment levels.
Balancing the trade-offs
There is no one right number. More down means a smaller loan, a lower monthly payment, and faster relief from mortgage insurance. Less down keeps cash in your pocket for moving, repairs, and an emergency fund.
A common sweet spot in Florida is 3% to 10% down. It gets you into a home without draining your savings, and you can always pay extra later.
When 20% makes sense
Twenty percent down removes private mortgage insurance on a conventional loan and shrinks your payment the most. If you have the cash and still keep a cushion, it is a strong move.
If putting 20% down would leave you with nothing in the bank, put less down and hold reserves. Run a few scenarios in our down payment calculator, then call us to lock in your plan.