December 22, 2010

What kind of down payment do I need to buy a home?

Ask the Pros Question of the Week: What kind of down payment do I need to buy a home?

Answer:

You need at least 5%, but you’re in a much better position if you can put down 20%.

Remember that a deposit is different from down payment. The deposit accompanies the offer (and this is negotiable – but 5% is a great number). The downpayment is the amount you put down on the house pre-mortgage. It includes your deposit money.

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