If you’re planning to buy your first home, then you’re probably focused on saving for all the costs involved in such a big purchase. One of the expenses that may be at the top of your mind is your down payment. If you’re intimidated by how much you need to save for that, it may be because you believe you must put 20% down. That doesn’t necessarily have to be the case. 20% is a common myth that often overwhelms first time home buyers. In actuality, the median down payment is about 14%, but different types of loans, like FHA loans which allows you to pay as low as 3.5%. This means you may not need to save up as much as you originally thought.

And it’s not just how much you need for your down payment that isn’t clear. There are also misconceptions about down payment assistance programs. For starters, many people believe there’s only assistance available for first-time homebuyers. While first-time buyers have many options to explore, repeat buyers have some, too. According to Down Payment Resource, there are over 2,000 homebuyer assistance programs in the U.S., and the majority are intended to help with down payments.

Remember, a 20% down payment isn’t always required. If you want to purchase a home this year, let’s connect to start the conversation about your home-buying goals.