What Are The Down Payments For Different Mortgage Programs

Dated: 11/06/2016

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What are the down payments for different mortgage programs?

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Living in the New York Metropolitan area is expensive.   Increasing rents have made more and more of us look into purchasing our homes as an alternative to renting.  One of the first questions many aspiring home owner first ask is how much money they will need to save up before they can Purchase.  

Down Payment & Closing Costs

When figuring out how much money you will need to save you will have to account for both your down payment and your closing costs.  Financing/borrowing closing cost money is possible, however, it becomes a case by case basis which will be covered in a future blog posting.

The more money you save the less money you will have to borrow.  However, if you can handle the mortgage payment that comes along with your property here are the minimum amounts for the most common mortgage types available in our market.

Mortgage TypeMinimum Down Payment
Veterans Affair (VA)None (100% Financing Available)
Federal Housing Adminstration (FHA)3.5%
State of NY Mortgage Agency (SONYMA)3%
Conventional 5%

Talking to a lender

By no means are we loan officers or bankers.  This post is for informational purposes only and should you be ready to apply for a mortgage you should talk with a loan officer.  You can find our preferred loan officer Michael Plata by clicking on the Finance link at the top of this page.

Veterans Affairs (VA)

The VA offers an incredible mortgage program for those that have served in our military.  If you qualify for a VA loan they will finance 100% of the sales price and you do not have to have any money for a down payment.

Federal Housing Agency (FHA)

The Federal Housing Administration also offers a mortgage program with a down payment of as low as 3.5% of the sales price.  FHA mortgages require you to be an owner occupant and applies to 1-4 family homes, and certain condos and coops that qualify.

State of New York Mortgage Agency (SONYMA)

The State of New York Mortgage Agency or SONYMA also offers a mortgage program with a low down payment of 3% of the sales price.  SONYMA was created for low to moderate income home buyers in the state of New York.


Conventional loans are mortgages that are not secured by a government agency.  Conventional mortgages have traditionally required a 20% down payment however to stay competitive with government backed programs, they now exist with as low as a 5% down payment.


If you are purchasing a property with no intention of ever moving into the home you will be required to apply for an investment mortgage.  Due to the riskier nature of these types of loans, investment mortgages require a minimum 25% down payment as well as the ability of the property to pay for itself with the rental income.

The Mortgage Landscape

The mortgage landscape is always changing.  The U.S. Government along with banks are always changing their guidelines in an attempt to respond to the changes in the real estate market.  This includes changing what the down payment requirements are for different types of mortgage programs.

Where do I go from here?

If you believe you are ready to discuss your current situation with a loan officer you can contact us so we can put you in contact with our preferred lender, Michael Plata of Loan Depot.

If you have any further questions you can always contact us via email at walterfsarmiento@gmail.com or call us directly at 718-679-0511.

If you need more time, no problem.  We are here for you and we hope that you continue to follow our blog in the future for more useful real estate information.

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