Comparison
5% Down vs 20% Down
A larger down payment lowers your payment, but keeping cash has real value too. Here's the tradeoff.
5% Down
Best for
- Keeping cash and reserves
- Buying sooner
- Investing the difference elsewhere
Advantages
- Less cash needed to close
- Preserves emergency savings
Tradeoffs
- Higher monthly payment
- Mortgage insurance until you reach ~20% equity
20% Down
Best for
- Lowest monthly payment
- Avoiding mortgage insurance
- Buyers with ample savings
Advantages
- No mortgage insurance
- Lower payment and total interest
Tradeoffs
- Uses significantly more cash
- Less liquidity after closing
Questions we'd discuss
- How much cushion do you want after closing?
- Is a lower payment or more liquidity the priority?
- Could you remove mortgage insurance later instead?
Things to consider
- Your reserve targets
- Mortgage insurance removal timeline
- What the extra cash could do elsewhere
Keep exploring
Continue your strategy — every step here leads somewhere useful.
Related articles
Understanding Down Payments
You rarely need 20% down. Options range from 0% (VA/USDA) to 3–5% (conventional and FHA). The right down payment balances your monthly payment, cash to close, mortgage insurance, and reserves.
Mortgage Insurance, Explained
Mortgage insurance lets you buy with less than 20% down by protecting the lender. On conventional loans it can be removed around 20% equity; on FHA loans it usually requires a refinance to remove.
Interactive guides
Here's what we'd discuss together
A strategy call isn't a sales pitch. It's a conversation about your goals — here's what we'd actually talk through.
Monthly payment comfort
Not the maximum you qualify for — the number that fits your life.
Future plans
How long you expect to stay and what's next for you.
Cash reserves
Keeping a healthy cushion after closing, not just at it.
Equity strategy
Whether to use, preserve, or grow your home equity.
Timeline
What needs to happen, and by when, to hit your goal.
Income stability
How your income is structured and documented.
What Happens Next
A real advisor reviews your information — then guides you from here.
Technology prepares the conversation. People make the difference. Here is exactly what to expect after you share your goals.
- 01
Complete your personalized assessment.
Tell us about your goals, timeline, and the details that help us understand the decision in front of you.
- 02
A mortgage advisor personally reviews your information.
Our technology prepares the conversation. It never replaces it.
- 03
We reach out to answer questions and discuss your options.
You will not be handed off to a call center or left alone to interpret generic results.
- 04
Together we shape the strategy that fits your goals.
We will explain the trade-offs before recommending a loan path.
- 05
If you're ready, we guide you through to closing.
Move forward with clarity, confidence, and a real person beside you.