Understanding the down payment calculator
The down payment is the part of the purchase price you pay in cash; the mortgage covers the rest. Conventional loans commonly accept 5% down (3% for some first-time programs), FHA loans 3.5%, and VA loans zero but putting down less than 20% on a conventional loan usually adds private mortgage insurance (PMI), a monthly fee that protects the lender, not you.
A larger down payment lowers the monthly payment twice over: the loan is smaller, and dropping PMI removes a separate charge. It can also earn a slightly better rate. The trade-off is liquidity cash locked into the house is hard to get back without selling or borrowing, so avoid draining the emergency fund to hit a round number.
Results are estimates for education only and are not financial advice.