: While 20% is the standard to avoid Private Mortgage Insurance (PMI) , many programs allow much less: Conventional Loans : As low as 3% for first-time buyers. FHA Loans : 3.5% with a 580+ credit score. VA/USDA Loans : Often 0% down for eligible borrowers.
Lenders use your financial history to determine how much you can borrow and at what interest rate. what do you need to buy a house
: This is your monthly debt payments divided by your gross monthly income. Lenders generally prefer a DTI of 43% or lower . : While 20% is the standard to avoid