FinanceDefault example result: $85,000.00

Down Payment Calculator

See how a target down payment changes both the cash you need upfront and the monthly housing cost that follows.

Published: March 31, 2026
Last updated: March 30, 2026

Calculator

Down Payment Calculator

Enter the target purchase price of the home.

$

Use the percentage of the purchase price you want to put down.

%

Enter the estimated annual mortgage rate.

%

Use the estimated closing costs as a percentage of the purchase price if you want a cash-to-close estimate.

%

Use zero if you only want a principal-and-interest estimate.

$

Use zero if you only want a principal-and-interest estimate.

$

Use zero if PMI would not apply. Enter the annual PMI rate as a percent of the loan amount.

%

Set this to zero if the home would not have HOA dues.

$

Thirty-year loans are common, but shorter terms reduce interest.

years

Example values are loaded.

Result

Your result

Putting 20% down on a $425,000.00 home means bringing about $97,750.00 to close on these assumptions.

Down payment

$85,000.00

Loan amount

$340,000.00

Monthly principal and interest

$2,205.23

Total monthly housing cost

$2,205.23

Financing snapshot

Home price$425,000.00
Down payment rate20%
Mortgage rate6.75%
Estimated closing costs$12,750.00
Total cash needed$97,750.00

Monthly housing cost

Principal and interest$2,205.23
Property tax$0.00
Insurance$0.00
PMI$0.00
HOA$0.00
Total monthly housing cost$2,205.23

Next steps

Compare before you move on

Most people use one calculator to answer the first question and a related tool to pressure-test the decision.

What this calculator shows

A down payment affects both how much cash you need upfront and how much you end up financing into the mortgage.

It helps when you want to compare common target levels like 5%, 10%, and 20% before you settle on a home-shopping budget or estimate cash to close.

How to use it

  1. 1. Enter the home price you are planning around.
  2. 2. Choose the down payment percentage you want to test.
  3. 3. Add the mortgage rate and term, then include optional closing costs, taxes, insurance, PMI, and HOA if you want a fuller upfront-cash and monthly-cost estimate.

Formula and assumptions

Down payment amount = home price x down payment rate.

Loan amount = home price - down payment, principal plus interest uses a standard amortized payment formula, and cash to close adds estimated closing costs to the down payment.

Notes

Maintenance, utilities, transfer taxes outside the closing-cost estimate, and lender-specific fees are still not fully modeled here.

Worked example

A $425,000 home with 20% down creates a common planning benchmark for both cash needed and remaining loan size.

This example uses the default sample inputs loaded on reset. It does not update with the live calculator entries above.

Down payment

$85,000.00

Loan amount

$340,000.00

Monthly principal and interest

$2,205.23

Total monthly housing cost

$2,205.23

Feedback

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FAQ

FAQ

Why does a larger down payment help so much?

A larger down payment reduces the loan balance, which lowers both the monthly payment and the total interest paid over time.

FAQ

Does this show PMI?

Yes. If you enter a PMI rate and put less than 20% down, the calculator adds the monthly PMI estimate to the total housing cost.