Down Payment on a $1,000,000 House
% Down | Down Payment |
---|---|
3.5% | $35,000 |
5% | $50,000 |
10% | $100,000 |
15% | $150,000 |
20% | $200,000 |
25% | $250,000 |
Price | 20% Down |
---|---|
$1,000,000 | $200,000 |
$1,005,000 | $201,000 |
$1,010,000 | $202,000 |
$1,015,000 | $203,000 |
$1,020,000 | $204,000 |
$1,025,000 | $205,000 |
$1,030,000 | $206,000 |
$1,035,000 | $207,000 |
$1,040,000 | $208,000 |
$1,045,000 | $209,000 |
FHA loans are loans issued by a bank, but backed by the federal government. They are intended for people can not qualify for a typical bank loan.
Note: Loans above $472,030 may not be eligible for an FHA loan, depending on location. You can check here.
The minimum down payment on an FHA loans is 3.5%. For a $1,000,000 house or condo, this would be $35,000.
To qualify for a 3.5% down payment, you must have a credit score of at least 580.
Buyers with a credit score of 500 or higher are eligible for an FHA loan with a down payment as low as 10%.
For a $1,000,000 house, this would be $100,000.
All FHA loans require "mortgage insurance", which protects the FHA from people who default on their loan. This requires an upfront payment of 1.75% of the loan, as well as additional monthly payments.
Conventional loans are those offered by a bank which might have a variety of terms and rates depending on the amount down and factors such as credit score, debt, and income.
For conventional loans, it is standard to make a down payment of 20%. For a 1,000,000 house, this would be $200,000.
However, some loans offer down payments as low as 3% to buyers with excellent credit, high income, and large assets.
Buyers who can't put at least 20% down are often required to pay PMI. For a 1,000,000 loan, this could be as high as $1,250 a month. Over time, if the buyer builds up equity in the house, PMI will no longer be required.