The below post is a transcription from one of our recent videos. We have added additional information about the topic as well as additional graphics and resources. We hope you find this information helpful, and if there is a real estate topic you would like us to cover, please reach out! We love helping provide Real Estate information for the Denver metro area, which helps our real estate clients and anyone who could use the help.

You likely have a plan in place in preparation for buying a home, and you’re putting money away for it. However, do you know how much you need as a down payment?

Your goal may be based on a common misconception if you believe you need to put 20% down. Freddie Mac says:

“The most damaging down payment myth—since it stops the homebuying process before it can start—is the belief that 20% is necessary.”

In most cases, you don’t need to put down 20% if your loan type or lender doesn’t stipulate it. The National Association of Realtors (NAR) reports that the median down payment hasn’t exceeded 20% since 2005. Today, however, that number is only 13%. The median down payment for first-time homebuyers is even lower, at 7% (see graph below):

How Much Do You Need for Your Down Payment? | Simplifying The Market

How Does This Impact You?

There are benefits to putting 20% or more down, but the typical buyer is putting far less down. It’s good news for you because it could mean you’re closer than you think to achieve your dream of buying a house.

There are several places where you can learn more about low-down-payment options. A down payment of 3.5% is an option for qualified buyers. Additionally, qualified applicants can take advantage of VA and USDA loans, which do not require a down payment.

Do your homework, so you understand your options. Sites like provide information about down payment assistance programs. Don’t forget to work with a real estate advisor from the beginning to find out what you might qualify for.

Bottom Line

Don’t forget: a 20% down payment isn’t always required. Let’s discuss your options and start the conversation if you are interested in purchasing a home this year.

Share This Story, Choose Your Platform!

Property Search

What Is Your Home Value Tristan Colborg - The Denver Real Estate Agent
Find Your Dream Home In Denver
Ready to Sell Tristan Colborg - The Denver Real Estate Agent
I'd like to chat about... (Select All That Apply)