FHA Loan Calculator · Practical guide
Minimum Down Payment for FHA Loan
FHA's minimum down payment is 3.5% with a credit score of 580 or above — 10% if your score falls between 500 and 579.
At a glance
The Short Answer
The minimum down payment for an FHA loan is 3.5% of the purchase price for borrowers with a credit score of 580 or higher. If your score is between 500 and 579, the minimum rises to 10%. Below 500, FHA financing is generally not available.
Interactive tool
FHA Loan Calculator
Enter your own values, then compare the result with the examples below.
The Minimum Down Payment in Dollars
| Home Price | 3.5% Down | 10% Down |
|---|---|---|
| $200,000 | $7,000 | $20,000 |
| $250,000 | $8,750 | $25,000 |
| $300,000 | $10,500 | $30,000 |
| $400,000 | $14,000 | $40,000 |
How Down Payment Size Changes Your Payment
On a $300,000 home at 6.5% for 30 years, putting 3.5% down produces a total loan of $294,566 (including financed upfront MIP) and a payment of about $1,994.55 per month with monthly MIP. At 10% down, the payment drops to roughly $1,860.20 — a $134 monthly saving — and the annual MIP can be removed after 11 years instead of lasting for the life of the loan.
Meeting the Minimum Without Draining Savings
FHA allows the full down payment to come from gift funds, grants, or down payment assistance programs, as long as the source is documented. Sellers can also contribute up to 6% of the price toward your closing costs, which frees more of your cash for the down payment itself.
More Than the Minimum Is Allowed
There is no penalty for putting more down. Enter any down payment percentage in the calculator above to compare loan amounts, MIP, and monthly payments side by side before deciding.
Frequently Asked Questions
Can I put down less than 3.5% on an FHA loan?
Not from your own funds, but assistance programs and gift funds can cover part or all of the 3.5%. The borrower contribution rules still require the 3.5% to be funded from an acceptable source.
Does a bigger down payment lower my FHA interest rate?
Sometimes modestly, since lenders price on risk. The bigger effects are a smaller loan amount and, at 10% or more down, the ability to drop annual MIP after 11 years.
Is the down payment based on the price or the appraised value?
It is based on the lower of the purchase price or the appraised value. If the home appraises below the contract price, you may need to renegotiate or bring extra cash.
Are FHA down payment rules different for multi-unit homes?
FHA allows 3.5% down on owner-occupied properties with up to four units, though duplexes and larger properties must meet additional self-sufficiency and reserve requirements.