Mortgage Myths: Here’s Why You Don’t Need a Full 20 Percent Down Payment

If you’re just getting into the real estate market, you may have heard that 20% down is the ideal percentage in order to lower your monthly payments and get your mortgage application approved. However, while 20% is often suggested, many people struggle to come up with this amount of money. If you’re staving off home ownership, here are some reasons you may not need to hold off as you long as you thought.

Minimizing Your Insurance Costs

Putting down 20% of the total purchase price of your home is often suggested, but it doesn’t definitively mean that your application won’t be approved if you don’t. If you have a good credit score and are in good financial standing, putting less than 20% down means you’ll have to pay Private Mortgage Insurance (PMI); however, it can be worth paying the extra funds in order to get into the real estate market sooner and start paying into your most significant investment.

Mortgage Programs For Less Than 20%

It may seem less possible to buy a home if you only have 5 or 7% of the purchase price, but there are many programs in the United States that enable those with limited funds to apply for a mortgage. From the Federal Housing Administration (FHA) to Fannie Mae and Freddie Mac, there are many lenders that can offer you mortgage programs that will work for your situation. While higher rates come in tandem with a lower down payment, there are options out there for those who haven’t saved quite enough.

Why Put Down 20%?

Putting down 20% is not a necessity for mortgage approval or purchasing a home, but it can be a great means of saving money in the long run and reducing your interest rates. If you’re raring to get into the real estate market and don’t want to wait for the bills to stack up, that’s OK, but if you want to hold off and save up additional funds before diving in, this can mean more money and a more solid investment in the future.

The magic number is often 20% when it comes to a down payment on a home, but you don’t require this percentage of your home’s price in order to get approved for a mortgage. If you’re currently considering diving into home ownership and would like to know more about the opportunities in your area, give me a call – J.P. Cook – 602-320-4253.

Click Here to See What Your Home is Worth

Listing types.

For Sale

For Rent

Land

Multifamily

Commercial

Location Search Nearby

BedsAny1+2+3+4+5+6+

BathsAny1+2+3+4+5+6+

Price MinAny$50,000$100,000$150,000$200,000$250,000$300,000$350,000$400,000$450,000$500,000$600,000$700,000$800,000$900,000$1,000,000$1,100,000$1,200,000$1,300,000$1,400,000$1,500,000$1,600,000$1,800,000$1,900,000$2,000,000$2,250,000$2,500,000$2,750,000$3,000,000$3,250,000$3,500,000$3,750,000$4,000,000$4,500,000$5,000,000$6,000,000$8,000,000$10,000,000$15,000,000

Price MaxAny$50,000$100,000$150,000$200,000$250,000$300,000$350,000$400,000$450,000$500,000$600,000$700,000$800,000$900,000$1,000,000$1,100,000$1,200,000$1,300,000$1,400,000$1,500,000$1,600,000$1,800,000$1,900,000$2,000,000$2,250,000$2,500,000$2,750,000$3,000,000$3,250,000$3,500,000$3,750,000$4,000,000$4,500,000$5,000,000$6,000,000$8,000,000$10,000,000$15,000,000

Advanced Options

Property TypeAnyApartmentManufactured HomeSingle Family ResidenceTownhouseTwin Home

School District

Address, MLS# or Keyword

Home SizeAny600 ft2800 ft21,000 ft21,200 ft21,400 ft21,600 ft21,800 ft22,000 ft22,200 ft22,400 ft22,600 ft22,800 ft23,000 ft23,500 ft24,000 ft24,500 ft25,000 ft25,500 ft26,000 ft2

YearAny2024+2023+2022+2021+2020+2019+2018+2017+2016+2015+2014+2013+2012+2011+2010+2009+2008+2007+2006+2005+2004+2003+2002+2001+2000+1999+1998+1997+1996+1995+1994+1993+1992+1991+1990+1980+1970+1960+1950+1940+1930+

Distressed

Open House

Location Search Nearby

BedsAny1+2+3+4+5+6+

BathsAny1+2+3+4+5+6+

Price MinAny$500$600$700$800$900$1,000$1,100$1,200$1,300$1,500$1,600$1,700$1,800$1,900$2,000$2,250$2,500$2,750$3,000$3,250$3,500$3,750$4,000$4,500$5,000$5,500$6,000$6,500$7,000$7,500$8,000$8,500$9,000$9,500$10,000

Price MaxAny$500$600$700$800$900$1,000$1,100$1,200$1,300$1,500$1,600$1,700$1,800$1,900$2,000$2,250$2,500$2,750$3,000$3,250$3,500$3,750$4,000$4,500$5,000$5,500$6,000$6,500$7,000$7,500$8,000$8,500$9,000$9,500$10,000

Advanced Options

Property TypeAnyApartmentManufactured HomeSingle Family ResidenceTownhouseTwin Home

School District

Address, MLS# or Keyword

Home SizeAny600 ft2800 ft21,000 ft21,200 ft21,400 ft21,600 ft21,800 ft22,000 ft22,200 ft22,400 ft22,600 ft22,800 ft23,000 ft23,500 ft24,000 ft24,500 ft25,000 ft25,500 ft26,000 ft2

YearAny2024+2023+2022+2021+2020+2019+2018+2017+2016+2015+2014+2013+2012+2011+2010+2009+2008+2007+2006+2005+2004+2003+2002+2001+2000+1999+1998+1997+1996+1995+1994+1993+1992+1991+1990+1980+1970+1960+1950+1940+1930+

Location Search Nearby

Lot SizeAny1+ Acres2+ Acres3+ Acres4+ Acres5+ Acres6+ Acres7+ Acres8+ Acres9+ Acres10+ Acres20+ Acres30+ Acres40+ Acres50+ Acres

Price MinAny$50,000$100,000$150,000$200,000$250,000$300,000$350,000$400,000$450,000$500,000$600,000$700,000$800,000$900,000$1,000,000$1,100,000$1,200,000$1,300,000$1,400,000$1,500,000$1,600,000$1,800,000$1,900,000$2,000,000$2,250,000$2,500,000$2,750,000$3,000,000$3,250,000$3,500,000$3,750,000$4,000,000$4,500,000$5,000,000$6,000,000$8,000,000$10,000,000$15,000,000

Price MaxAny$50,000$100,000$150,000$200,000$250,000$300,000$350,000$400,000$450,000$500,000$600,000$700,000$800,000$900,000$1,000,000$1,100,000$1,200,000$1,300,000$1,400,000$1,500,000$1,600,000$1,800,000$1,900,000$2,000,000$2,250,000$2,500,000$2,750,000$3,000,000$3,250,000$3,500,000$3,750,000$4,000,000$4,500,000$5,000,000$6,000,000$8,000,000$10,000,000$15,000,000

Advanced Options

Neighborhood

Address, MLS# or Keyword

Location Search Nearby

Price MinAny$50,000$100,000$150,000$200,000$250,000$300,000$350,000$400,000$450,000$500,000$600,000$700,000$800,000$900,000$1,000,000$1,100,000$1,200,000$1,300,000$1,400,000$1,500,000$1,600,000$1,800,000$1,900,000$2,000,000$2,250,000$2,500,000$2,750,000$3,000,000$3,250,000$3,500,000$3,750,000$4,000,000$4,500,000$5,000,000$6,000,000$8,000,000$10,000,000$15,000,000

Price MaxAny$50,000$100,000$150,000$200,000$250,000$300,000$350,000$400,000$450,000$500,000$600,000$700,000$800,000$900,000$1,000,000$1,100,000$1,200,000$1,300,000$1,400,000$1,500,000$1,600,000$1,800,000$1,900,000$2,000,000$2,250,000$2,500,000$2,750,000$3,000,000$3,250,000$3,500,000$3,750,000$4,000,000$4,500,000$5,000,000$6,000,000$8,000,000$10,000,000$15,000,000

Advanced Options

School District

Address, MLS# or Keyword

YearAny2024+2023+2022+2021+2020+2019+2018+2017+2016+2015+2014+2013+2012+2011+2010+2009+2008+2007+2006+2005+2004+2003+2002+2001+2000+1999+1998+1997+1996+1995+1994+1993+1992+1991+1990+1980+1970+1960+1950+1940+1930+

Location Search Nearby

Lot SizeAny1+ Acres2+ Acres3+ Acres4+ Acres5+ Acres6+ Acres7+ Acres8+ Acres9+ Acres10+ Acres20+ Acres30+ Acres40+ Acres50+ Acres

Price MinAny$50,000$100,000$150,000$200,000$250,000$300,000$350,000$400,000$450,000$500,000$600,000$700,000$800,000$900,000$1,000,000$1,100,000$1,200,000$1,300,000$1,400,000$1,500,000$1,600,000$1,800,000$1,900,000$2,000,000$2,250,000$2,500,000$2,750,000$3,000,000$3,250,000$3,500,000$3,750,000$4,000,000$4,500,000$5,000,000$6,000,000$8,000,000$10,000,000$15,000,000

Price MaxAny$50,000$100,000$150,000$200,000$250,000$300,000$350,000$400,000$450,000$500,000$600,000$700,000$800,000$900,000$1,000,000$1,100,000$1,200,000$1,300,000$1,400,000$1,500,000$1,600,000$1,800,000$1,900,000$2,000,000$2,250,000$2,500,000$2,750,000$3,000,000$3,250,000$3,500,000$3,750,000$4,000,000$4,500,000$5,000,000$6,000,000$8,000,000$10,000,000$15,000,000

Advanced Options

Address, MLS# or Keyword

YearAny2024+2023+2022+2021+2020+2019+2018+2017+2016+2015+2014+2013+2012+2011+2010+2009+2008+2007+2006+2005+2004+2003+2002+2001+2000+1999+1998+1997+1996+1995+1994+1993+1992+1991+1990+1980+1970+1960+1950+1940+1930+

View As: Thumbnails List

Sort by: Select Price, Low to High Price, High to Low Newer Listings First Older Listings First Open House Date

1328 E Pomelo Grove Lane Phoenix, AZ 85014

$1,350,000

4 Beds

2.5 Baths

2,554 SqFt

Status Active

MLS # 6724512

Property Type Single Family Residence

Price Type --

Constructed in 2022 by Boyer Vertical, this stunning 4 bed/2.5 bath modern home resides in the smart home community of KARMA, located in the coveted Madison Heights neighborhood of North Central Phoenix. Built with sustainability in mind, this home features a tightly sealed envelope, thanks to top quality spray foam insulation and is on the forefront of technology with its SPAN electrical panel, VELUX retractable Skylights, Energy Star rated appliances, a tankless water heater, Nest thermostats, and an EV charger achieving a 50 point HERS certification. Natural light beams throughout the main floor as you are greeted by a sleek and modern kitchen featuring high-end Dacor and Fisher Paykel appliances and a waterfall edge island that serves as a versatile hub for cooking, casual dining, and socializing. The bright and open living and dining room make the perfect retreat to experience seamless indoor-outdoor living through the triple sliding door to your inviting backyard which includes a heated pool with water features and mountain views and a patio perfect for alfresco dining or lounging. Also located on the first floor is a beautiful powder bath and the spacious primary suite, which provides comfort and ease featuring a full-size stackable Samsung washer and dryer, a spacious walk-in closet, and a spa-like primary bath with dual vanities and walk-in shower. Upstairs you will find three additional spacious bedrooms, a modern bathroom with dual vanities and a shower/tub combo, sleek storage cabinets and hookups for a space efficient washer and dryer. This one of a kind home is at the epicenter of some of the best experiences Central Phoenix has to offer. From award winning restaurants, popular hiking trails, shopping, resorts, and more - this home is your opportunity to live sustainably without compromising luxury or an elevated lifestyle.

View Property

8743 E San Victor Drive Scottsdale, AZ 85258

$1,350,000

2 Beds

2.5 Baths

2,819 SqFt

Status Active

MLS # 6763640

Property Type Single Family Residence

Price Type --

This beautifully remodeled home in McCormick Ranch backs onto a serene greenbelt and features an open, bright floor plan with soaring ceilings. The spacious layout includes formal living and dining areas, plus a family room with a fireplace, built-in bookshelves, luxury wet bar & dual master suites. Gourmet kitchen boasts brand new white quartz countertops, Wolf appliances, a Sub-Zero fridge, double ovens, two sinks, & breakfast bar. Both master suites have walk-in closets and backyard access. The backyard is a green oasis offering a built-in BBQ, pool & spa! The master bathroom is a freshly remodeled dream. Roof & AC replaced in recent years. Milgard windows, & garage w/ cabinets & epoxy floors. Bonus, 2 rentable community casitas! Move-in ready!

View Property

9144 E Pershing Avenue Scottsdale, AZ 85260

$1,350,000

4 Beds

2.5 Baths

2,969 SqFt

Status Active

MLS # 6737562

Property Type Single Family Residence

Price Type --

Wow! Remodeled in the last 2 - 4 years! 4 bedrooms, 2.5 baths, Very open floor plan with living room/formal dining room combination. Light and bright Island kitchen with stainless steel appliances, eat in breakfast nook & Quartz countertops opens onto the family room with a fireplace and Soaring ceilings! Downstairs master bedroom!!! 3 bedrooms and a huge loft upstairs! Luxury vinyl planking throughout the entire home! Sparkling fenced play pool and side yard hosts a putting green . Anderson windows, solar panels , refrigerator, washer & dryer included and more! You gotta see this one! Professional photos coming ! Move right in!

View Property

18223 W Rancho Court Litchfield Park, AZ 85340

$1,350,000

5 Beds

3.5 Baths

3,244 SqFt

Status Active

MLS # 6740239

Property Type Single Family Residence

Price Type --

Stunning Home with Modern Luxuries and Entertainer's Dream Spaces! Discover this exquisite 5 bedroom, 3.5 bath home nestled in the beautiful gated community of Russell Ranch, on a premium cul-de-sac lot. The property features an oversized 3 car garage, perfect for all your storage needs. Enjoy the flexibility of RV or casita potential with pre-installed plumbing. Inside, custom shutters adorn every window, enhancing both privacy and elegance. The expansive great room offers a perfect setting for gatherings and holiday celebrations. The home also boasts impressive front & back patios, ideal for entertaining or simply relaxing. Front & back landscape lighting, with customizable color options, adds a touch of sophistication to your outdoor spaces. Don't miss out on this exceptional property.

View Property

33023 N 53rd Way Cave Creek, AZ 85331

$1,350,000

4 Beds

3.5 Baths

4,281 SqFt

Status Active

MLS # 6745271

Property Type Single Family Residence

Price Type --

Luxury home with 75K upgrades on a 1/2 acre lot in a gated community! Ideal floor with 2 master suites. Recently professionally appraised for value. The gourmet kitchen is a chef's delight with a spacious island, subzero refrigerator, & a walk-in pantry, & a gas cook top. The primary master suite in the back of the home boasts a new custom walk-in closet, & a lavish bath w/ a soaking tub, walk-in shower, & dual vanities. There is a private patio where you can overlook the green grass. Special features include Leviton LED Customizable Lighting & solid core doors. The second master suite in the front of the home providing privacy with doors to the custom pool/spa with waterfalls. The backyard oasis is perfect for entertaining. Swim, play lawn games, & barbecue. 4-car garage for car lovers,

View Property

6550 N 7th Street Phoenix, AZ 85014

$1,350,000

6 Beds

4.5 Baths

5,601 SqFt

Status Active

MLS # 6765697

Property Type Single Family Residence

Price Type --

Here's your chance to own something truly special in North Central—a home that sits on just under a half-acre and on one of the area's most sought-after streets. The main house offers over 4,000 sq. ft. of space, elegant stone floors, a stunning wrought iron staircase with hand crafted granite steps leading to the second story; has all been revamped in recent years. Remodeled bathrooms and a refreshed Arizona room offers new flooring and it's own cooling unit create a multitude of uses, includes separate kitchen hook-ups. The home is equipped with powerful HVAC systems, including two 4-ton units for the main house and a 1.5-ton split unit for the Arizona room. Tucked away in the back, the 1,540 sq. ft. guest house was originally built as an RV garage but has been thoughtfully transformed into an industrial loft style, 2-bedroom, 1-bath homeideal for guests, family, or even rental potential, includes a 3-ton AC unit. Out back, there's a wrap around diving pool, installed in 2014 and the pool pump was just replaced in 2023. For the car collector, this property offers parking for up to 12 vehicles, plus a 2-car garage. This is more than just a home; it's a rare opportunity to own a piece of North Central Phoenix with space, updates, and versatility that's hard to find.

View Property

11336 E Diamond Cholla Drive Scottsdale, AZ 85255

$1,350,000

4 Beds

2 Baths

2,248 SqFt

Status Active

MLS # 6759739

Property Type Single Family Residence

Price Type --

Located in TROON, an area known for its exquisite golf & beautiful mountain views is the community of Four Peaks at Troon Village. Enter & you are greeted by a wall of glass that paints Pinnacle Peak. This COMPLETE DESIGNER REMODEL has an open floor plan that lets in plenty of natural light. The kitchen offers a massive quartz island w/ plenty of seating & professional grade appliances. The family room & dining room are across from the kitchen so everyone can be together. The owner's suite features a large soaking tub, glass shower & large walk-in closet. On the other side of this split floor plan home are 3 additional bedrooms & an additional bath. Exit through the 18' sliding glass door to reveal your own pool & majestic mountain views. Perfect vacation home or your forever home.

View Property

2709 E Janelle Way Gilbert, AZ 85298

$1,350,000

5 Beds

4.5 Baths

4,680 SqFt

Status Active

MLS # 6760858

Property Type Single Family Residence

Price Type --

This exquisite 4680 sqft home complete with an expansive mother-in-law suite, with kitchenette, is sure to exceed your expectations! Nestled on a sprawling .85-acre lot, one of the largest in the subdivision, this property offers 5 bedrooms, 4.5 baths & dual 3-car garages on either side of the home. The outdoor oasis features lush tropical landscaping in both the front & back yards, extended driveways, stone façade, courtyard, & a stunning 30,000-gallon saltwater pool with stone accents, waterfall, waterslide & underwater seating adding to the resort-like feel. Inside you will find elegant wood & tile flooring, recessed lighting, soaring ceilings & large picture windows. The grand living area includes a great room, formal dining & remodeled kitchen boasting granite counters, SS appliances chic pendant lighting, gas cooking, large center island, butler's & walk-in pantries, breakfast nook & rich wood cabinetry with crown molding. The luxurious master suite offers new carpeting, bay windows & a spa-like bath complete with dual vanities, grand Roman tub, a walk-in tiled shower with a drying area & His & Her walk-in closets. 2 guest bedrooms come with ensuite baths, while a 4th bedroom, equipped with a Murphy bed & large walk-in closet, is perfect as a home office. The attached 731 sqft. Casita is a gem, featuring an oversized bedroom with sitting area, large walk-in closet, spacious bathroom with dual sinks & walk-in shower, living room with a kitchenette & a private yard. It also includes a 30 x 30 garage with a workshop & drive-through door, providing extra parking space in the back. Additional upgrades include 3 HVAC units, 100-amp service in the casita garage, extra insulation, cobblestone pavers, firepit & RV gate. Ideally located in Gilbert, near shopping, dining, and scenic views of the San Tan Mountains, this home offers everyday living that feels like a vacation in paradise!

View Property

4148 N Westview Drive Phoenix, AZ 85015

$1,350,000

4 Beds

3 Baths

3,523 SqFt

Status Active

MLS # 6767459

Property Type Single Family Residence

Price Type --

Remodeled home in Historic Bel Air neighborhood with 4 bed, 3 bath, 3,523 sq. ft. RV parking, with electric RV gate and 13k lot, Whole house has been updated. Updates include 2 master suites, quartz counters, new plumbing, new windows, electric RV gate, RV parking, new gates, new appliances, new flooring, new baseboards, new cabinets, new electrical, new Trane AC units, new roof, new paint, fire place, new insulation, new tile, new pavers, new pergola's, new fixtures, new toilets, new baseboards, new paint.

View Property

11519 E Blue Wash Road Cave Creek, AZ 85331

$1,350,000

3 Beds

2.5 Baths

2,655 SqFt

Status Active Under Contract

MLS # 6612853

Property Type Single Family Residence

Price Type --

Heavenly views and a custom home in Tonto Hills surrounded by the National Forest, direct views of Mighty Four Peaks, Weavers Needle and beyond. Intelligent floor plan with 3 bedrooms and 3 baths, formal dining and great room that opens to the picturesque patios. Detached horse stable has electricity and could be easily converted to a casita. Rear patios offer the perfect shape and ideal location/site for a negative edge pool, see photos of renderings for a virtual pool. The views and privacy here are unrivaled.

View Property

9441 N 80th Place Scottsdale, AZ 85258

$1,350,000

4 Beds

3 Baths

2,944 SqFt

Status Active Under Contract

MLS # 6763355

Property Type Single Family Residence

Price Type --

From Frank Lloyd Wright's Architects and one of only two subdivisions from Fellow John Rattenbury. Exuding serenity while integrating seamlessly into the streetscapes of the neighborhood was Rattenbury's primary goal for his Mountain View East project within McCormick Ranch. Utilizing principles of Taliesin West, these homes are simple, while elegant, sophisticated, and spacious. This model features 2 master suites split from each other while also split from 3rd and 4th bdrms. Wright-inspired design features of multi-level ceilings with clerestory windows and skylights keep the home awash in natural lighting and visual interest making it architecturally unique. Lush & mature landscaping, relaxing pool and a patio with commercial misting draws one to outdoor living and entertaining.

View Property

16623 E Emerald Drive Fountain Hills, AZ 85268

$1,350,000

4 Beds

3 Baths

2,749 SqFt

Status Active

MLS # 6752009

Property Type Single Family Residence

Price Type --

Contemporary Southwest Retreat sitting on 1.013 acre offers sweeping views of Redrock Mtn, the Superstitions looking down a peaceful arroyo. Gracious courtyard entry welcomes guests and opens to an elegant great room. Gorgeously updated features vaulted ceilings, walls of massive windows with tons of space for friends and family. Chef's kitchen is designed for a crowd, offers granite island w/ breakfast seating, top-of-the-line appliances, tons of cabinetry, is dine-in, and allows the chef to be part of the celebration. Space for a dining room. Large primary suite plus 2 additional bedrooms, which one is ensuite, plus a den or 4th bedroom. Nice big 3-car garage with a separated bay that can also be a ''private space.'' Heated pool and Spa!

View Property