Down Payment Requirement Checklist for Conventional Home Loans

Share Article’s new guide to down payment requirements helps potential borrowers make the best decisions regarding their home loan’s down payment.

A new article from helps borrowers to better understand what they should be prepared for when going into their new home loan by providing a down payment requirement checklist for conventional home loans. is dedicated to helping borrowers to find loans that they will love and this new article continues to provide information which can help those who are looking for the best home loan to make informed decisions regarding their home buying plans.

This new guide from Loan Love titled “Conventional Home Loan Down Payment Requirements (Quick Checklist)” says, “Often, a down payment is the biggest hurdle standing between renting and home ownership. If you will be seeking out a conventional home loan, there are a number of things to keep in mind as you consider pulling together funds for your down payment. The down payment represents a percentage of your home’s selling price and is paid upfront as opposed to being financed. It is due when you close on your home mortgage loan. From a lender’s perspective, a down payment shows a prospective home owner has some skin in the game. So from your lender’s standpoint, it is extremely important. It shows you are able to make a personal investment in your home.”

The article further explains, “The amount of down payment required depends on a number of factors, but is primarily determined by the purchase price of your new home and the loan program you will be using. Requirements for down payments can vary widely, typically anywhere from 5 percent to 20 percent. Your lender can discuss the different requirements with you as you compare loan programs. There are a number of things to take into account when deciding how large of a down payment you are able to put toward your home purchase. One important consideration is your loan-to-value ratio, which decreases as your down payment increases.”

The article continues, “This figure represents how much you owe on your house after your down payment is applied. In other words, it’s a percentage that reflects the ratio between your home’s unpaid principal and the appraised value. A lower ratio is favored. The higher your down payment, the lower your ratio will be.”

For more information on what to consider when putting a down payment on a home and suggestions for additional sources of down payment funds, click here to read the full article at

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Kevin Blue
Loan Love
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