Down Payment Calculator
Enter a home price and a down payment percent to see the dollar amount, the loan you would need, the loan-to-value ratio and an estimated monthly payment. Or switch to savings mode to see how long a target down payment takes to save.
Last updated November 4, 2026
Example value. 0 up to just under 100.
Example rate, not a current offer.
Assumption used only when you put down less than 20%. Ask your lender for a quote.
Result
$40,000.00
| Result | Amount |
|---|---|
| Down payment | $40,000.00 |
| Loan amount | $360,000.00 |
| Loan-to-value | 90.0% |
| PMI likely? | Yes (under 20% down) |
| Principal and interest | $2,275.44 |
| PMI (estimate) | $150.00 |
| Monthly payment | $2,425.44 |
| Down payment for 20% | $80,000.00 |
PMI is likely: the loan is 90.0% of the price, above 80%. At 0.5% a year it adds $150.00 a month. Taxes, insurance and HOA are not included.
Show the work
Formula: down = price × down %; loan = price - down; LTV = loan ÷ price; payment = P × r ÷ (1 - (1 + r)^-n)
- Down payment: $400,000.00 × 10% = $40,000.00.
- Loan: $400,000.00 - $40,000.00 = $360,000.00; loan-to-value 90.0%.
- Monthly rate r = 6.5% ÷ 12; n = 360; principal and interest = $2,275.44.
- PMI: $360,000.00 × 0.5% ÷ 12 = $150.00.
- Monthly payment: $2,275.44 + $150.00 = $2,425.44.
Result: Down payment of 10% on $400,000.00 = $40,000.00; loan $360,000.00 (90.0% LTV); principal, interest and PMI $2,425.44/month at 6.5% for 30 years.
How a down payment is calculated
down payment = price × down %
loan = price - down payment
LTV = loan ÷ price
payment = P × r ÷ (1 - (1 + r)^-n)
A down payment is the part of the price you pay in cash at purchase. The rest is the loan. Multiply the home price by the down payment percent to get the dollar amount, then subtract it from the price to get the loan. Dividing the loan by the price gives the loan-to-value ratio, or LTV. Lenders use LTV to judge risk.
The monthly principal and interest comes from the standard amortization formula, the same one used by the Mortgage Calculator. P is the loan, r is the yearly rate divided by 12, and n is the number of monthly payments. At 0% interest the payment is simply the loan divided by the months.
This calculator uses a common PMI model. When the down payment is below 20% of the price, the loan is more than 80% of the value and private mortgage insurance is usually required on a conventional loan. The monthly PMI shown is the PMI rate you enter times the loan, divided by 12. The default rate is an assumption for illustration, because real PMI pricing depends on your lender, credit and loan.
See how we calculate for the formulas, sources and review schedule behind every calculator.
Also useful alongside this calculator: Car Payment Calculator, Mortgage Payoff Calculator and VA Loan Calculator.
How long to save a down payment
In savings mode you enter the home price, the target percent, what you have saved and what you add each month. With no growth the answer is the amount still needed divided by the monthly savings, rounded up to whole months. That is the default, so the result does not depend on any investment return.
You can also enter a yearly yield. The calculator then uses simple monthly compounding: each month the balance grows by one twelfth of the yield, then your deposit is added at the end of the month. A yield is not guaranteed and interest may be taxable, so treat the result as a plan, not a promise.
If the goal would take more than 100 years, or you enter no monthly savings and have no growth, the calculator tells you instead of showing a result.
Is 20% required?
No. Twenty percent is a common target because it avoids PMI on a conventional loan, not a legal requirement. Many buyers put down less, and some loan programs allow low down payments. The trade-off is a larger loan, more interest and, often, PMI.
The result lists the down payment that would reach 20% so you can compare it with your plan. Loan programs and lender rules differ, so confirm the minimum with a lender.
These results are estimates. Actual lender requirements, including the minimum down payment, PMI rules and approval terms, vary by lender and loan program, and this is not a binding loan quote or offer.
General information, not financial advice
This calculator gives a general estimate from the numbers you enter. It is not financial or tax advice, and your actual results can differ. Check important decisions with a qualified professional or the official source.
Sources
Official and primary sources for the statements on this page. Their authors have not reviewed or endorsed this page.
- Consumer Financial Protection Bureau, Determine your down payment. Says most loans need at least about 3% down and many require 5% or more, that putting down 10% or 20% can save money, that low and no down payment programs usually cost more, and that closing costs are separate from the down payment.
- Consumer Financial Protection Bureau, What is mortgage insurance and how does it work?. Says borrowers who put down less than 20% typically pay mortgage insurance, that PMI rates vary by down payment and credit score, and that PMI can be cancelled under certain circumstances.
Official information: both CFPB pages were opened and read on 2026-11-04. They back the statements about typical down payment levels, the 20% threshold for mortgage insurance and closing costs being separate. They do not state the 80% loan-to-value or 78% cancellation thresholds and they give no PMI rate.
Calculator method: down payment = price × percent, loan = price minus down payment, LTV = loan ÷ price, and the payment uses the standard amortization formula. The PMI flag below 20% down and the monthly PMI of rate × loan ÷ 12 are our simplified model.
Assumptions and estimates: the $400,000 price, 6.5% rate and 0.5% PMI rate are example inputs, not current market figures. Actual minimum down payments, PMI pricing and approval terms are set by lenders and loan programs. This is an estimate, not a loan quote.
How to use the Down Payment Calculator
- Choose whether you want the down payment and payment, or the time to save.
- Enter the home price and either a down payment percent or your savings details.
- For the payment, add an example interest rate, term and PMI assumption.
- Read the down payment, loan, LTV, PMI flag and monthly payment, or the months to save.
- Open Show the work to follow each step, or use Copy, Print or Share.
Worked example
Example inputs, not current rates: a $400,000 home at 6.5% over 30 years with a PMI assumption of 0.5% of the loan per year. Principal and interest only; taxes, insurance and HOA are not included.
| Down payment | Amount | Loan | Principal and interest | PMI | Monthly total |
|---|---|---|---|---|---|
| 5% | $20,000 | $380,000 | $2,401.86 | $158.33 | $2,560.19 |
| 10% | $40,000 | $360,000 | $2,275.44 | $150.00 | $2,425.44 |
| 15% | $60,000 | $340,000 | $2,149.03 | $141.67 | $2,290.70 |
| 20% | $80,000 | $320,000 | $2,022.62 | $0.00 | $2,022.62 |
Frequently asked questions
How much should my down payment be?
It depends on your budget and loan type. Twenty percent avoids PMI on a conventional loan, but many buyers put down less. Compare the monthly payment and cash you must keep in reserve.
How do I know if I will pay PMI?
This calculator flags PMI when the down payment is below 20% of the price, meaning the loan is above 80% of the value. Your lender decides the real requirement and price.
Can I calculate how long it takes to save a down payment?
Yes. Switch to savings mode and enter the target percent, current savings and monthly deposit. Growth is 0% unless you enter a yearly yield, which uses simple monthly compounding.
Does the monthly payment include taxes and insurance?
No. It shows principal, interest and estimated PMI only. Use the Mortgage Calculator to add property tax, homeowners insurance and HOA dues to the payment.
Does the down payment cover closing costs?
No. Closing costs are separate cash due at closing. The Closing Cost Calculator adds them to the down payment so you can see total cash needed.