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

22927 N 41st Street Phoenix, AZ 85050

$999,900

4 Beds

2.5 Baths

3,208 SqFt

Status Active

MLS # 6760156

Property Type Single Family Residence

Price Type --

Wow This Desert Ridge Beauty is dressed to impress. With over $160,000 in recent updates and a premium lot backing to a neighborhood desert common area this home Dazzles. 2 New Ac's, Newer carpet that owners don't let pets on, Custom Modern Owner suite remodel with stand alone tub and quartzite countertops, floor to ceiling tile enclosure and Plank Tile flooring throughout most of home, custom accent walls, and much more. Gorgeous elegant yard with Premium Limestone Pavers, Built in BBQ and seating bar with stone accents, Recently updated pool with new pebble tech, new lighting throughout, newer garage door .....This one is special, Hurry!!!

View Property

33632 N Rifleman Road Cave Creek, AZ 85331

$999,900

4 Beds

2.5 Baths

2,720 SqFt

Status Active

MLS # 6769115

Property Type Single Family Residence

Price Type --

Welcome to this beautifully designed home in a prime location offering comfort and style. BONUS: Fully owned and paid off solar for huge savings at this custom built home. Hands down best value in all of Cave Creek. This spacious design features an open-concept layout, a modern kitchen with high-end appliances, and a luxurious master suite with a walk-in closet and spa-like bathroom. Need space? This is YOUR HOME. Build a guest house, RV garage, casita, pool, so many possibilities!! Enjoy Arizona's outdoor living in the private backyard oasis. Located in a quiet, family-friendly neighborhood, this home is close to top schools, shopping, Tatum ranch golf course, and dining. Don't miss your chance to make this exceptional property yours—take your tour today!

View Property

5725 E Evans Drive Scottsdale, AZ 85254

$999,900

4 Beds

2.5 Baths

2,324 SqFt

Status Active

MLS # 6754204

Property Type Single Family Residence

Price Type --

Move-In Ready. 4BR 2.5BA w/ 2.5 Car Garage in the ''Magic Zip Code'' of 85254. Desirable location close to Kierland Shopping, Restaurants, schools, parks and Entertainment. NO HOA. This home features open floorplan from Kitchen to Family Room, Sparkling Pool. Kitchen has Kitchen Craft Cabinets, with custom finishes inside .Stainless Appliances, Viking Beverage Cooler, Granite Counter Tops. Double French Doors lead to large patio with Sparkling Pool. The oversized back yard is ready for your landscape design. Luxurious Main BATH dual sinks and stand-alone tub. All baths remodeled. New Carpet & Tile. New Paint Inside & Out. New Garage Epoxy Floor. PLEASE REMOVE SHOES, or WEAR BOOTIES up stairs. New ACs in 2019 & 2020. New Water heater 2020. RF pet collar controlled PlexiDor Pet door.

View Property

5524 E Beverly Lane Scottsdale, AZ 85254

$999,900

3 Beds

2.5 Baths

2,036 SqFt

Status Active

MLS # 6770688

Property Type Single Family Residence

Price Type --

This exquisitely renovated 2,036 sq ft home is the epitome of modern elegance and comfort, located on a generous 9,948 sq ft corner lot. With 3 spacious bedrooms and 2.5 baths, this home offers both style and function, perfect for families or those who love to entertain. Inside, you'll find stunning hardwood flooring throughout, smooth texture interior walls, and an open-concept layout that seamlessly connects the living areas. The gourmet kitchen is a showstopper with stainless steel appliances, a built-in fridge, 36'' range, microwave drawer, custom cabinetry, bar area, and gorgeous quartz waterfall countertops. The attention to detail continues outdoors with beautiful new landscaping and custom lighting that set the scene for your private oasis. No HOA governing this neighborhood. The backyard is designed for entertaining with a sparkling pool, built-in BBQ, pergola, and cozy fire pit - perfect for family gatherings or weekend parties. Additional highlights include a new roof, energy-efficient HVAC system, smooth stucco exterior, upgraded windows, doors, and hardware, plus an epoxy-finished garage floor that adds a sleek touch to your spacious garage. This home is truly turn-key, with every inch thoughtfully designed for comfort and style, making it ideal for entertaining or a family-friendly retreat.

View Property

10100 E Bell Road Scottsdale, AZ 85260

Open House

$999,900

3 Beds

2.5 Baths

2,775 SqFt

Status Active

MLS # 6724765

Property Type Townhouse

Price Type --

Welcome to the boutique enclave community of Villas Altozano located at the base of the McDowell Mountains. As you enter this highly desirable turnkey home with open floorplan offering first floor primary bedroom, great room with surround sound system and large tv, dining, kitchen and laundry, you will be engulfed in gorgeous views of the McDowells. The chef's kitchen includes wine fridge, stainless steel appliances, upgraded cabinetry, oversized island and built in appliances with beautiful quartz countertops. Enjoy our fabulous Arizona sunsets on your totally private patio complete with built-in bbq, firepit, TV and outdoor heater ~ perfect for entertaining. Spacious primary bedroom with en suite including custom barn door to bathroom which has double vanities and enlarged shower along with walk-in closet. Upstairs offers an amazing loft with built in desk, 2 large secondary bedrooms and full bath. Plenty of storage in this home as well as in garage! Enjoy the sparkling community pool and spa. Truly a slice of desert paradise. Welcome Home!

View Property

8677 E Via Del Valle -- Scottsdale, AZ 85258

Open House

$999,877

4 Beds

3 Baths

2,500 SqFt

Status Active

MLS # 6751875

Property Type Single Family Residence

Price Type --

PRICE REDUCTED TO SELL!!! Experience unparalleled luxury in this stunning, remodeled home in McCormick Ranch! Be the envy of your friends and neighbors with a residence that exudes charm and sophistication. The bright, open floor plan features abundant natural light, soaring ceilings, and a breathtaking fireplace. The gourmet kitchen offers ample counter space, plenty of cabinets, and new stainless steel appliances. This split-level design includes two spacious bedrooms and a full bath downstairs, while the oversized primary and secondary bedrooms upstairs boast private balconies and exquisite luxury bathrooms. Enjoy all that McCormick Ranch has to offer, including walking paths, a pool, spa, parks, dining, shopping, and entertainment

View Property

15410 W Encantada Drive Surprise, AZ 85374

$999,800

3 Beds

3 Baths

2,779 SqFt

Status Active Under Contract

MLS # 6694519

Property Type Single Family Residence

Price Type --

LUXURY GOLF COURSE LIVING AT ITS FINEST! STUNNING GOLF COURSE VIEWS & LAKE VIEWS! Welcome to this breathtakingly beautiful Mesquite floor plan, perfectly situated on a prime lot in the coveted Active Adult community of Sun City, ''The Grand''. This rare gem boasts: EXQUISITE CURB APPEAL GRAND ENTRY with impressive front stone facade and foyer LUSH LANDSCAPING framing the stunning golf course and lake views RESORT-STYLE BACKYARD OASIS HEATED POOL for year-round relaxation BBQ and FIREPIT for alfresco entertaining COVERED PATIOS perfect for taking in the views GOURMET KITCHEN UNIQUE LEATHERED STONE COUNTERTOPS and island seating DOUBLE OVENS and PULL-OUT SHELVING for effortless cooking EAT-IN NOOK with breathtaking golf and lake views OPEN CONCEPT LIVING

View Property

34008 N 141st Place Scottsdale, AZ 85262

$999,500

4 Beds

3 Baths

3,024 SqFt

Status Active

MLS # 6763232

Property Type Single Family Residence

Price Type --

ESCAPE THE CITY LIFE! WELCOME HOME TO YOUR PRIVATE, DESERT, RETREAT! QUALITY BLT. CUSTOM HOME NESTLED ON A PRIVATE 1.25 ACRE, MT. VIEW LOT! UPGRADES GALORE! GRANITE COUNTER TOPS, SOLID KNOTTY ALDER DOORS & CABINETS,GOURMET EAT-IN KITCH.,VIKING REFRIG.,COOK TOP, DBL OVENS, TUMBLED TRAVERTINE STONE FLOORS, ROUGH SAWN BEAMS, DRAMATIC STACKED STONE FIREPLACE & ENTERTAINMENT CENTER IN FAMILY RM & MASTER SUITE.RESORT STYLE ''DOUBLE'' INFINITY EDGE, PEBBLE TEC POOL,PAVESTONE FRONT & BACK,VIEW DECK. NICE HORSE SET-UP w/COVERED STALLS, TURNOUT,AUTO WATERS,HAY STORAGE.360 DEGREE MT.VIEWS. STEPS AWAY FROM THE SCOTTSDALE PRESERVE & NEAR TONTO NATIONAL FOREST. ENJOY HORSE BACK RIDING,HIKING,MT. BIKE RIDING & OFF ROADING.PROPERTY APPROVED W/EPCOR, 99 YR. ASSURED WATER SUPPLY. Click on tab for more... Well was in use for several years. Pump broke off when trying to pull it for repair. House is currently on hauled water. Homeowner just installed their own 5000 gallon, underground, storage tank. Buyer can set up auto water fill account w/local hauled water company. EPCOR approval letter under the document tab of the listing. EPCOR insures 99 year water supply.

View Property

397xx N 3rd Street Phoenix, AZ 85086

$999,000

4 Beds

3 Baths

3,500 SqFt

Status Active

MLS # 6643098

Property Type Single Family Residence

Price Type --

CUSTOM HOME TO BE BUILT, PURCHASE EARLY AND YOU CAN DECIDE THE COLORS AND SPECIAL FEATURES TO MAKE IT YOUR HOME. BUILDER HAS BUILT HOMES IN THE AREA AND OWNS THIS LOT. ENJOY THE BEAUTIFUL SUNSETS FROM YOUR BEAUTIFUL HOME. RV GARAGE CAN BE ADDED. HOME PRICING INCLUDES STAINLESS STEEL APPLIANCES, WHITE CABINETS, QUARTZ COUNTERTOPS,TILE WALK IN SHOWERS, 8 FI DOORS, 12 FOOT CEILINGS AND A FIREPLACE AND A TANKLESS WATER HEATER. AGENT IS RELATED TO SELLER

View Property

22 County Road N2319 -- Nutrioso, AZ 85932

$999,000

2 Beds

1.5 Baths

1,105 SqFt

Status Active

MLS # 6780502

Property Type Single Family Residence

Price Type --

This 20 acre ranch property is tucked away at the foot of Escudilla Mountain in Nutrioso, AZ just off of Highway 180. The main building is a 1 bedroom home atop a 6 stall barn, (barndominium). There are cross fenced corrals, hay barns, chicken coop, storage areas, etc. as would be typical of a ranch. Power is solar, with propane generator & wind generator as well. The propane tank on the main building is leased with two owned 45 gallon tanks on the separate Casita. The well is shared with the adjacent 20 acre Cabin property which may be purchased together (MLS#253570) for a price discount. Property may be used for a variety of ranch, farm, RV park, hunter retreat or other creative scenarios. Turkey, deer, elk abound. Buyer must be accompanied by his agent to enter property. Owner/Agent

View Property

17807 E Silver Sage Lane Rio Verde, AZ 85263

$999,000

2 Beds

2.5 Baths

2,316 SqFt

Status Active

MLS # 6674808

Property Type Single Family Residence

Price Type --

Introducing the charming 2316 sqft Brasada model, a Spanish-style 2022 build residence ideally situated on a corner lot offering Picturesque mountains and Amazing Four Peaks views. Experience the beauty of the fully landscaped front courtyard and backyard, complete with synthetic grass, pavers, and flourishing fruit trees. Inside, the home features a sophisticated upgraded built-in SS Monogram kitchen with roll out Pantry and an additional hobby room perfect for versatile use. Upgraded tile flooring that seamlessly extend into the spacious patio via the large Stack Slider door and connect the indoor and outdoor for stunning sunrise views. Convenience is key with included washer and dryer units, while the interior design showcases a harmonious blend of neutral grays and whites throughout.

View Property

15056 E Marathon Drive Fountain Hills, AZ 85268

$999,000

3 Beds

2 Baths

1,575 SqFt

Status Active

MLS # 6697256

Property Type Single Family Residence

Price Type --

Welcome to modern living in scenic Fountain Hills, AZ. This stunning 3 bedroom, 2 bath home boasts contemporary updates throughout, offering a sleek and inviting ambiance. Entertain in style with a spacious living area, perfect for gatherings. The gourmet kitchen features stainless steal appliances and quartz counters. Step outside to your own private oasis, where a large backyard awaits. Enjoy endless days of relaxation by the sparkling pool and rejuvenate in the soothing spa. Practice your golf skills on the custom putting green, adding a touch of luxury to your outdoor experience. Nestled in a prime location, this home offers convenience and tranquility, with easy access to local amenities and breathtaking mountain views. Don't miss out on the opportunity to make this dream home yours There is a NPOA even though this is not a HOA there is a transfer fee and disclosure fee.

View Property