Post # 1
For those that are buying a home or recently bought a home, how much did you put for a downpayment? If you do not want to reveal, I’ve included a poll.
We are starting to look to buy, however we were told by the real estate agent that the standard down payment is 20%. I’m wondering is 20% is a standard or it varies by location.
Post # 3
The poll isn’t showing up right. We had over 20% down on our house. I wouldn’t go below 20% because then you owe private mortgage insurance which adds at least another percentage onto your interest rate until you get to 20% equity in your home.
Post # 4
The thread posted before I get to finish the poll.
Poll is now updated.
Post # 5
We actually put less than 5% down. Although pretty close to that (4 or 4.5 prob). We did an fha loan where you only need 3.5% down. Yes, you pay PMI, but considering the market and the deal we got (and the crazy low interest rate) it absolutely made sense for us to go ahead and buy the house now.
Post # 6
I think this is definitely going to depend on region. We haven’t bought yet, but we are planning on saving over 20%. Like MissAsB stated, I want to avoid the mortgage insurance. But this is probably not the norm where I live (Vancouver) as housing prices are some of the highest in North America. But I haven’t even made the decision to buy here yet – I may move back to the Maritimes, where my family is and the cost of living/homes are much cheaper. Unless the housing market crashes here, I am not planning on buying anytime soon.
Post # 7
Any bees in the Bay Area can weight in?
Post # 8
We put 20% down on our condo to avoid PMI, which was right about $50k. I would be uncomfortable putting down less than 10%, and would prefer to put down 20% or more.
Post # 9
We put down $15,000 or 6%ish on our condo.
I wouldn’t necessarily recommend that for everyone, but we graduated university and both landed very stable jobs that put us in a pretty good income bracket. It just made more sense to buy than to rent.
Post # 10
Umm you didn’t include 0%. Ours was 0%. No PMI for us either because we bought through a first time home buyer’s program. It’s been a great program for us. I’m just hoping the house will sell when we want to move later this year.
Post # 11
I put 5% percent down on my first home. Nothing on my second condo. 20% on my last house. Now DH and I are buying a home together and we are planning on saving 20% for that purchase as well. If we find a home in the price range we are thinking we can afford a 15 year mortgage if we put down 20% which would be ideal for when children hit college age. It would be nice to own our home and have no mortgage payment when that time comes.
Post # 12
I think you just need to look at your personal situation. Obviously if you have 20%… by all means put it down. But if you don’t have it that definitely doesn’t mean you should stop looking. We didn’t have the 20% because we’re pretty new out of school, but we’re both in stable jobs making good money with a little bit of a rainy day fund. It was buy a house now, at a great price with a great interest rate and start building equity (plus— get to live in a house we LOVE) or wait a few years until we have 20% and prices are higher and interest rates are higher. For us, it made sense to buy now.
Post # 13
@amariem25: Is that program still in effect or expired?
We would be first time home buyer as well.
Post # 14
@cutexkitty – it’s still in effect. but it’s a local program, so it’s only offered in MN.
Post # 15
We put a little less than 5%, which was the minimum for our FHA loan.
The rent we had been paying for years is the exact same amount as our monthly mortgage payment now (including PMI, insurance, etc.). With the deal we got and the low interest rate it definetly was the right time to buy for us.
For our 2nd house, our “forever” home, we plan to put at least 20% down.
If you have any first time homebuyer classes in your area I highly recomend them. We did one and it helped sooo much. They also explain a lot of the mortgage programs out there.
Post # 16
We wanted to avoid an FHA loan if we could, so our parents are lending us some money so we can put the full 20% down.