What is the standard down payment?
Answer:The standard down payment used to be 20% before PMI was invented. However, paying what is the standard down payment of 20% does rid you of private mortgage insurance.
Alternatives to the Standard Down Payment
Nowadays, the down payment does not have a standard. It can be a down payment of 0, 5 or 10 percent; the choice is left to the borrower. It is possible to get indirect seller down payment assistance through private grant programs; it is possible to use federal and state down payment assistance plans, or get qualified for a silent second mortgage waived after some occupancy period.
It is also possible to fund your mortgage down payment with a second mortgage, or a HEL or HELOC.
100% financing is also an option; however, you won't avoid paying PMI.
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