How much down payment do you need?

You must have a minimum of 5% of the purchase price as a down payment. If the purchase price is between $500,000 and $1,500,000, you need 5% of the first $500,000 plus 10% of the amount of the purchase price that is above $500,000. For a purchase price of $1,500,000 or higher, you need a minimum of 20% of the purchase price for your down payment.

To calculate your down payment:

Purchase price under $500,000

If the purchase price is under $500,000:

5% of the purchase price (0.05 x purchase price)

EXAMPLES:

A purchase price of $306,000 needs a minimum downpayment of $15,300

5% of $306,000 = $15,300 (0.05 x 306,000)

A purchase price of $479,000 needs a minimum downpayment of $23,950.

5% of $479,000 = $23,950 (0.05 x 479,000 = $23,950)

Purchase price between $500,000 - $1,500,000

If the purchase price is between $500,000 and $1,500,000

5% of first $500,000 (0.05 x 500,000 = $25,000) plus
10% of amount above $500,000 (subtract $500,000 from the purchase price and multiply that number by x 0.01)
Add these two amounts to determine your minimum down payment

EXAMPLES:

A purchase price of $899,000 needs a minimum downpayment of $$64,900.

5% of the first $500,000 = $25,000
10% of amount over $399,000
- $899,000 - $500,000 = $399,000
- 10% x $399,000 (0.10 x 399,900) = $39,900
$25,000 + $39,900 = $64,900

A purchase price of $1,267,000 needs a minimum down payment of $101,700.

5% of the first $500,000 (0.05 x 500,000) = $25,000
10% of $767,000
- $1,267,000 - $500,000 = $767,000
- 10% of $767,000 (0.10 x 767,000) = $76,700
$25,000 + $76,700 = $101,700

Purchase price above $1,500,000

If purchase price is above $1,500,000:

20% of purchase price (0.20 x purchase price)

EXAMPLES:

A purchase price of $1,779,000 needs a minimum down payment of $355,500.

20% of $1,779,000 = $355,500 (0.02 x 1,779,000 = $355,500)

A purchase price of $2,561,000 needs a minimum down payment of $512,200.

20% of $2,561,000 = $512,200 (0.02 x 2,561,000 = $512,200)