If you are buying a home to live in (not for renting out), Down Payment if you qualify is 5% for properties worth $500,000 and below. This is true even if it’s your 2nd, 3rd or 4th home etc. As long as you are buying to live in it.
If the property costs more than $500,000 then your down payment has to be 5% of the first $500,000 and then 10% of anything above $500,000.
For example for properties worth $600,000 then it’s 25,000 for the first $500,000 and then 10,000 for the $100,000 above $500,000.
Downpayment for $600,000 is $35,000 and if the purchase price is $700,000 then it’s $45,000. If the property is worth $1,000,000 or more then the down payment has to be 20% or $200,000 for a home worth $1,000,000.
I am Bernadette Laxamana, President of Karista Mortgage. We help you get a great mortgage and use it to build wealth.