The Down Payment Calculator turns a home price and a down payment percent (or a fixed dollar down payment) into the cash due at purchase and the resulting loan amount. Enter price and percent, and the Down Payment Calculator returns down payment dollars, loan principal, distance to the common 20% PMI threshold, and a view of how a larger down payment changes the monthly mortgage payment.
Buyers often hear "20% down" without seeing the dollar gap on a specific price. The Down Payment Calculator makes that gap concrete before rate shopping and DTI checks.
*These results are estimates for information only, not financial or lending advice. PMI rules and program minimums vary by lender and loan type.*
Calculate a home down payment
The Down Payment Calculator calculates a home down payment as purchase price times the chosen percent, or reports the percent when a dollar amount is entered instead. Down payment is the cash portion that is not borrowed. Closing costs stay separate unless cash-to-close mode says otherwise.
Fixture: $300,000 price at 20% down gives $60,000 down payment. At 10% down the cash due is $30,000; at 5% it is $15,000; at 3% it is $9,000. The Down Payment Calculator should accept either direction: percent to dollars or dollars to percent (dollars / price). Closing costs are separate from down payment in most worksheets; do not bury title fees inside the down payment field unless the UI labels a combined cash-to-close mode.
Gift funds and seller credits follow program rules outside this basic product. If gift funds cover part of the down payment, the calculator still reports the total down payment dollars; documentation rules belong with the lender.
Earnest money deposits usually credit toward down payment or closing costs at settlement, depending on the contract. The Down Payment Calculator still needs the full down payment percent or dollars on the purchase price; treat earnest money as a cash-flow timing detail, not a second discount on price.
Find the resulting loan amount
The Down Payment Calculator finds the resulting loan amount as price minus down payment. Loan amount is the principal that amortization and interest will use. Loan-to-value follows as loan divided by price, which also marks distance to common PMI lines.
On the $300,000 home with $60,000 down, the loan is $240,000. With $30,000 down, the loan is $270,000. The Down Payment Calculator can show loan-to-value (LTV) as loan / price: 80% LTV at 20% down, 90% LTV at 10% down. Higher LTV usually means more interest over the life of the loan and a higher chance of mortgage insurance. Price reductions and down payment increases both shrink principal; only down payment increases also raise cash due at closing.
Exact cents matter when price is not a round thousand; keep money maths exact. A $312,500 price at 20% down is $62,500 down and a $250,000 loan.
Avoid PMI with 20% down
The Down Payment Calculator highlights the 20% down level because conventional loans often require private mortgage insurance (PMI) when LTV starts above 80%. Reaching 20% down (80% LTV) is the common educational line for avoiding PMI on many conventional purchases.
At $300,000, 20% is $60,000. A buyer with $45,000 available is 15% down ($45,000), loan $255,000, LTV 85%, and typically faces PMI until LTV drops through a later appraisal or amortization threshold. The Down Payment Calculator can state dollars still needed to reach 20%: $60,000 - $45,000 = $15,000. FHA, VA, and other programs use different insurance or funding-fee structures; this page's 20% note targets conventional PMI education, not every government program.
PMI cost is often a monthly add-on; estimate it with lender quotes rather than inventing a premium here unless a rate table ships with the product. Removing PMI later can require a request and proof of value; the calculator only marks the purchase-day 20% line.
See how the down payment affects the payment
The Down Payment Calculator shows how the down payment affects the payment by amortizing the resulting loan at a stated rate and term. Larger down payments cut principal, which cuts the principal-and-interest installment. Taxes and insurance stay outside that principal-and-interest figure unless PITI mode is on.
Compare on a 30-year fixed 6% rate. Loan $270,000 (10% down on $300,000): monthly principal and interest about $1,618. Loan $240,000 (20% down): monthly principal and interest about $1,439, about $179 less per month before taxes, insurance, and PMI. Removing PMI when crossing 20% can widen that gap further on conventional loans. The Down Payment Calculator should label whether the payment shown is principal and interest only or full PITI. Taxes and insurance depend on location and are not a fixed percent of price nationwide.
Cross-link DTI tools when the new principal-and-interest figure must fit income limits. A lower payment from a larger down payment can be the difference between clearing a back-end ratio and missing it.
On a $400,000 price the same percents scale linearly: 10% down is $40,000 (loan $360,000) and 20% down is $80,000 (loan $320,000). At the same 6% thirty-year rate, the principal-and-interest gap between those two loans is larger in dollars than on the $300,000 example because more principal is removed. The Down Payment Calculator should recompute whenever price changes rather than scaling a prior payment by guesswork.
Frequently asked questions
How is down payment calculated?
Down payment is calculated as purchase price times the down payment percent. The Down Payment Calculator also divides a dollar down payment by price to report the percent. On a $300,000 home, 20% down is $60,000.
How is loan amount calculated?
Loan amount is calculated as price minus down payment. The Down Payment Calculator returns that principal for amortization. A $300,000 price with $60,000 down leaves a $240,000 loan.
Why does 20% down matter?
Twenty percent down matters because many conventional loans stop requiring PMI at 80% LTV. The Down Payment Calculator marks that threshold on the price entered. Other loan types use different insurance rules.
Does a larger down payment lower the monthly payment?
A larger down payment lowers the monthly principal-and-interest payment when rate and term stay fixed, because the loan is smaller. The Down Payment Calculator can amortize two loan sizes for comparison. Taxes and insurance may still change with home value.
Are closing costs included?
Closing costs are not included in the basic down payment figure. The Down Payment Calculator treats down payment as price x percent (or the dollar amount entered). Add closing costs separately for cash-to-close.
What percent down is required?
The percent down required depends on the loan program, from very low on some insured or guaranteed loans to 20% or more for PMI avoidance on conventional loans. The Down Payment Calculator does not set a legal minimum. Confirm program rules with a lender.
Summary
The Down Payment Calculator converts home price and down payment percent into cash due and loan principal, with a clear mark at 20% for conventional PMI education. On a $300,000 purchase, 20% down is $60,000 and leaves a $240,000 loan; 10% down leaves $270,000 financed and a higher principal-and-interest payment at the same rate and term.
Loan amount equals price minus down payment, and LTV follows directly. Closing costs stay separate unless a cash-to-close mode says otherwise. These results are estimates for information only, not lending advice.