An old friend and past client sent me a message the other day telling me that she will be ready to buy a house as soon as she saves up 20% to use as a down payment. I have no idea where and how the 20% down payment payment myth got started.
Most first time home buyers need at least 3.5% for a down payment and lets not forget another 3% or so for closing costs. There are down payment assistance programs out there too. It is a good idea to talk to a lender and then come up with a plan for saving some money.
It isn’t easy to save up for a down payment on a house but saving enough for a 3% to 5% down payment is a lot easier than putting aside enough for a 20% down payment.
Do a little research, talk to a mortgage professional. If you don’t have a savings account open one today.