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

4430 Bandana Court Wickenburg, AZ 85390

$1,075,500

3 Beds

2.5 Baths

2,390 SqFt

Status Active

MLS # 6757842

Property Type Single Family Residence

Price Type --

Discover the epitome of refined living in Wickenburg Ranch, Arizona's premier active adult lifestyle community. This exceptional residence offers 3 bedrooms and 2.5 bathrooms, blending elegant design with modern comforts. Step inside to find an open-concept gourmet kitchen featuring expansive granite countertops, top-of-the-line appliances, and ample prep space—perfect for culinary enthusiasts. The spacious great room, highlighted by a large sliding glass door, seamlessly connects to an inviting outdoor living area. The home's master suite is a sanctuary of tranquility, complete with a generous walk-in closet and a luxurious en-suite bath. Enjoy the serene beauty of the landscaped backyard, which boasts a heated pool and low-maintenance turf, ideal for relaxation and entertainment. Residents of Wickenburg Ranch enjoy have world-class amenities, including an 18-hole championship golf course, The Big Wick, and the fun executive par 3 course, Little Wiki. Stay active with access to state-of-the-art health and fitness clubs, and savor dining and socializing in various food and beverage establishments. Experience unparalleled luxury and an active lifestyle in this stunning homewhere every day feels like a retreat.

View Property

27762 N 96th Drive Peoria, AZ 85383

$1,075,000

5 Beds

3.5 Baths

3,750 SqFt

Status Active

MLS # 6728033

Property Type Single Family Residence

Price Type --

GATED OASIS IN PLEASANT VALLEY ~ PEORIA! This stunning property is a sanctuary of energy efficiency and beauty in a gated community near Lake Pleasant. Nestled in a serene neighborhood, the backyard oasis features lush landscaping, a large Pebble Tec pool, full BBQ kitchen, koi pond, hot tub, and fire pit. Enjoy morning coffee on the spacious patio surrounded by nature. Inside, the remodeled kitchen boasts a gas Wolf stovetop and ovens, a Sub-Zero fridge, and quartz countertops. The home also includes solar panels, ensuring comfort while saving on utility bills. Embrace luxury and sustainability in this elegant, eco-friendly haven with RV gate. Make it yours today! SEE DOCS TAB FOR PROPERTY FEATURES LIST There are 2 Solar Systems. One will be paid off at close of escrow. one is leased at $224.00 a month and buyer will assume lease. See Property Features List in Document Section

View Property

2610 E Nisbet Road Phoenix, AZ 85032

$1,075,000

4 Beds

4 Baths

2,243 SqFt

Status Active

MLS # 6746255

Property Type Single Family Residence

Price Type --

Amazing estate/horse property located in NE Phoenix. Located in an area of farms (neighbors sell eggs, honey, etc) yet live in middle of town! 3/3 bath main house, 1bd/1bth/kitchenette/laundry in guest house. This large horse property w/ no HOA has been nicely updated and boasts: has large diving pool, hot tub, automatic RV gate, 250sf guest house, 17433sf RV garage(40'x47.6' wide). huge panel, could be workshop! 2243 sf Home itself features an elegant entry room/living room, fresh travertine flooring, large metal entry door, gas & electric range hookup, newer AC for main house (2020), split floorplan, vaulted ceilings, new roof (2020), large, professional putting green, gorgeous built in bbq/firepit/pizza oven area, house, freshly painted!

View Property

18618 E Poco Rio Drive Rio Verde, AZ 85263

$1,075,000

3 Beds

2.5 Baths

2,555 SqFt

Status Active

MLS # 6751430

Property Type Single Family Residence

Price Type --

This perfectly remodeled home is located on the 7th fairway of Quail Run. Has perfect views of the fairway and Four Peaks Mountains. This home is fully remodeled and move in ready. It features one of the biggest lots on a fairway. The back yard is an entertainers dream. It features 4 patios and a fire pit in the back yard and an amazing courtyard and sitting area in the front yard. This home was featured in the 2022 Garden Walk. New Roof 10/2024!

View Property

23014 N 86th Street Scottsdale, AZ 85255

$1,075,000

3 Beds

3 Baths

2,341 SqFt

Status Active

MLS # 6758333

Property Type Townhouse

Price Type --

Located in highly desirable La Vida with community pool, park and tennis/pickleball court, this charming move-in ready home on one level is on a corner lot and offers a private gated entry, 3 bedrooms and 3 baths which includes a separate Casita and private, partially covered back patio. You will immediately feel at home in the spacious main house with numerous windows, living room with vaulted ceiling and fireplace, family room off of kitchen and separate dining area. Comfortable eat-in kitchen has granite tile countertops and stainless appliances. Main suite with access to the back patio has a large walk-in closet and bathroom with double vanity and separate tub and shower. And all is conveniently located close to shopping, dining, hiking, golf and the loop 101.

View Property

15550 E Cholla Drive Fountain Hills, AZ 85268

$1,075,000

5 Beds

3 Baths

3,075 SqFt

Status Active

MLS # 6770086

Property Type Single Family Residence

Price Type --

Welcome to your serene retreat in the heart of Fountain Hills! This stylish 5-bed, 3-bath home with new flooring and HVAC, offers the perfect opportunity to enjoy the quiet comforts of a secluded neighborhood, while only being minutes away from local attractions. Just minutes from downtown Fountain Hills and the world-famous fountain, you'll have access to shopping, dining, and lively community events. Outdoor lovers will appreciate being just a short drive from Fountain Park, Desert Canyon Golf Club, McDowell Mountain Regional Park, Scottsdale and so much more. Whether you seek a family home or a profitable TURN KEY vacation rental, this property offers the perfect blend of relaxation, style, and convenience. Come experience the best of Fountain Hills!

View Property

3417 E Dunlap Avenue Phoenix, AZ 85028

$1,075,000

4 Beds

2 Baths

2,323 SqFt

Status Active Under Contract

MLS # 6776212

Property Type Single Family Residence

Price Type --

Do you love the beauty of the Phoenix Mountain Preserve? Enjoy a spectacular, unobstructed view of beautiful desert wildlife from the privacy of your backyard oasis. This charming 4-bedroom home is located on a quiet north Phoenix cul-de-sac and sits on the edge of the preserve. The house could use some updating, but it has good bones, formal dining and living rooms, vaulted wood ceilings, plantation shutters. Easy access to the 51; get to the airport, ballpark, shopping, etc., in a matter of minutes. Don't miss this one.

View Property

2833 E Los Altos Road Gilbert, AZ 85297

New

$1,075,000

4 Beds

3.5 Baths

4,152 SqFt

Status Active

MLS # 6783749

Property Type Single Family Residence

Price Type --

FANTASTIC OPPORTUNITY to purchase this BEAUTIFUL HOME in the DESIRABLE STRATLAND ESTATES LOCATION at a GREAT PRICE*ENJOY the LUXURY of this STUNNING TOLL BROTHERS HOME with WOOD FLOORS, SHUTTERS, surround sound, and design features such as RESTORATION HARDWARE LIGHTS, BEAMS, and SHIPLAP at CELING*KITCHEN has DOUBLE OVENS, GAS cooktop and LARGE PANTRY*Main home has 4 BEDS, DEN, and 2.5 bath*CASITA is PERFECT for GUESTS with sitting room/kitchenette, full bath and bedroom*OWNER SUITE is split and has GREAT WALK-IN CLOSET, SEPARATE SHOWER and SOAKING TUB at bath**EXTERIOR includes ARTIFICIAL TURF, PAVERS, and COZY COURTYARD in front as well as SRAWLING BACK YARD with LARGE COVERED PATIO and DESIGNATED SITTING AREA*DON'T WAIT to COME BY and see WHY YOU will WANT to CALL this PLACE YOUR ''HOME'

View Property

34229 N 43rd Street Cave Creek, AZ 85331

$1,075,000

4 Beds

3 Baths

3,141 SqFt

Status Active

MLS # 6719472

Property Type Single Family Residence

Price Type --

Luxurious Golf Course Living in Dove Valley Ranch. Welcome to your dream home in the exclusive gated community. Mountain View's all the way around! Beautiful sunsets are in your future! This stunning remodel is a showcase of modern luxury and functionality. *Master bedrooms upstairs and down* *Brand new washers and dryers upstairs and down* *3 car epoxied garage* *All new hardwood flooring throughout* *New AC's* *New Roof* *Custom cabinetry* *Travertine pavers* *Plantation shutters* *New garage doors and openers* *New lighting and fixtures* *Exterior and interior paint* *New appliances* *New granite* This is the embodiment of contemporary elegance and thoughtful design. The Master Suite is unreal! Come check it out TODAY! gourmet eat-in kitchen, featuring an oversized functional island with seating for five, stainless steel appliances, and a pantry. The formal dining area and family room offer additional spaces for entertaining and relaxation. A generous bedroom with a full bathroom is conveniently located downstairs, providing flexibility and convenience for guests or multi-generational living. Upstairs, a cozy loft area makes an ideal office space. The expansive master suite is a true retreat, boasting a private balcony with stunning views, a converted bedroom that now serves as a masterful walk-in closet with custom shelving, and a luxurious full bathroom with dual sinks, a soaking tub, and a spa-like shower. Two additional bedrooms and another full bathroom complete the upper level, ensuring ample space for family and guests. The backyard is a private oasis designed for both relaxation and entertainment. A large covered patio overlooks a luxurious swimming pool with a captivating water feature. Enjoy the stunning views from every angle, whether you're lounging by the pool or hosting a summer barbecue. Experience the pinnacle of luxury living in Dove Valley Ranch, where every detail is designed to enhance your lifestyle. Welcome home!

View Property

7005 W Meadowbrook Drive San Tan Valley, AZ 85144

$1,075,000

3 Beds

2 Baths

2,411 SqFt

Status Active

MLS # 6720069

Property Type Single Family Residence

Price Type --

EVERY HORSE LOVERS PARDISE! Don't miss the chance to make this mountain-view retreat your own! Experience the perfect blend of modern comfort and rural charm with this stunning 3-bedroom, 2-bathroom home on a 1.25-acre lot with breathtaking mountain views and NO HOA restrictions. Featuring an open-concept layout, the home boasts a spacious living area filled with natural light, a gourmet kitchen with stainless steel appliances, and a luxurious master suite. Outside, you'll find an expansive yard, a well-maintained 4 stall horse barn with turn out pens, and a three-car garage. Brand NEW H20 home water system! Never had a utility power over $250 due to Intergra Insulated Block built construction.

View Property

3216 E Orange Drive Phoenix, AZ 85018

$1,075,000

3 Beds

2 Baths

1,580 SqFt

Status Active

MLS # 6739869

Property Type Single Family Residence

Price Type --

PRICE REDUCTION This charming home is located in the Biltmore corridor(North of Camelback road) on an extra large cul de sac lot with a backyard large enough for an addition. Dual pane windows, recessed lighting, maple wood flooring through-out and many upgrades makes for the perfect home for year-round residence or winter visitor. Located near the best restaurants, shopping, hiking, biking and walking trails Your clients won't be disappointed. LOCATION LOCATION LOCATION

View Property

4551 N 52nd Place Phoenix, AZ 85018

$1,075,000

3 Beds

2.5 Baths

2,937 SqFt

Status Active

MLS # 6743328

Property Type Single Family Residence

Price Type --

SELLER FINANCE OR Lease Purchase Available!! A fantastic 3 bed, 2.5 bath townhome in La Montana is now for sale! Featuring 2 garage spaces, artificial turf, and a cozy courtyard! Inside you will find spacious dining & living areas w/soaring ceilings, elegant wood-look flooring, a warm fireplace, and a wet bar perfect for entertaining guests. Prepare delicious meals in this gorgeous kitchen, equipped w/ample cabinetry, quartz counters, tile backsplash, recessed lighting, stainless steel appliances, and a prep island. The grand primary suite features plantation shutters, a walk-in closet, and a full bath w/dual sinks. Also including a quaint backyard patio where you can sit back and enjoy a relaxing evening, this is sure to be the home you've been looking for!

View Property