Finance · Mortgages

Down Payment Calculator

Enter a home price and a down payment percentage to see the cash you need up front and the loan amount you would finance for the rest.

Methodology reviewed Jul 14, 20262 primary sourcesHow it worksInputs stay on this device
Your inputs

Size your down payment

Purchase price of the home, from $1 through $100,000,000.

Share of the price paid up front, from 0% through 100%.

Your inputs are calculated locally and are not stored.
Your down payment$80,000.00

Paying $80,000.00 up front leaves a $320,000.00 loan to finance.

Loan amount
$320,000.00
Home price
$400,000.00
Formula & methodology

How the down payment is calculated

The down payment is the home price multiplied by the down payment percentage. The loan amount is simply the remaining balance — the home price minus the down payment. A larger down payment lowers the loan amount and the loan-to-value ratio, which can reduce your rate and help you avoid mortgage insurance.

Down payment = Home price × (down payment % ÷ 100)
Loan amount = Home price − Down payment
Home price
Purchase price of the home
Down payment %
Share of the price paid up front
Worked example

$400,000 home with 20% down

On a $400,000 home, a 20% down payment is $80,000 paid up front, which leaves a $320,000 loan to finance. At 20% down, the loan is 80% of the price, the threshold that typically lets buyers avoid private mortgage insurance.

This is an educational calculation based only on the values you provide. It does not include closing costs, and it is not financial advice.

Assumptions

What this calculator assumes

  • The down payment is a straight percentage of the purchase price.
  • Closing costs, prepaid taxes, and reserves are not included in the down payment figure.
  • The loan amount equals the price minus the down payment, with no financed fees added.
  • A 20% down payment is used only as the common threshold for avoiding PMI, not a requirement.
  • Money values are rounded to the nearest cent for display.
Common questions

Down payment FAQ

Do I really need 20% down?

No. Many loan programs allow much smaller down payments — some as low as 3% to 5%. A 20% down payment is simply the common threshold that lets buyers avoid private mortgage insurance and can qualify for better pricing.

Are closing costs part of the down payment?

No. Closing costs are separate from the down payment and typically add a few percent of the price on top. Budget for both when planning the cash you need to bring to closing.

Primary sources

Sources and review notes

  1. Consumer Financial Protection Bureau — Owning a Home
  2. Financial Consumer Agency of Canada — Down Payment

Methodology last checked Jul 14, 2026. Formula implementation is covered by deterministic unit tests. No financial professional review is claimed yet.