How Much Do I Need Upfront To Buy A House Apr 2026

While the "20% down" rule is a common myth, most buyers today use low-down-payment options.

: Require a minimum of 3.5% with a credit score of 580 or higher.

Closing costs are mandatory fees paid at the end of the transaction to finalize your loan. Money You Need Upfront to Purchase a Home

: Typically require as little as 3% to 5% down for qualified first-time buyers.

: For a $400,000 home, a 3.5% down payment would be $14,000 . 2. Closing Costs: The "Hidden" Fees

: Offer 0% down options for eligible veterans or rural homebuyers.

Buying a house is more than just the down payment. In , homebuyers should generally prepare to have 7% to 15% of the home's purchase price available in liquid cash to cover various upfront costs. 1. The Down Payment: Your Largest Upfront Cost