How Much Down Payment for a $300K House? | 2025

April 25, 2025 - 9 min read

Down payment options for a $300K house

Have you ever wondered how much a down payment for a $300K house would be? That's going to depend entirely on the type of mortgage you choose.

While some lenders may require no down payment at all, most will need at least 3% of the purchase price ($9,000) or 3.5% ($10,500). However, if you have a down payment of 20% ($60,000), you could save quite a bit on mortgage insurance and interest charges.

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The key is figuring out the down payment needed for a $300K house that aligns best with your circumstances. Read on to learn how to figure out the right one for you.


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>Related: How to buy a house with $0 down: First-time home buyer

How much down payment for a $300,000 house?

If you want to buy a $300,000 house, your down payment amount can range from $9,000 to $60,000. That’s between 3% and 20% of the home price, depending on your loan type.

A conventional loan typically requires a down payment of at least 3%. But an FHA loan requires 3.5%, or $10,500. FHA loans are easier to qualify for, although they do come with mortgage insurance premiums that remain in effect for the life of the loan. Some buyers can skip a down payment altogether. VA loans (for veterans) and USDA loans (for rural homes) don’t require one. 

So how much down payment do you actually need for a $300,000 home? That depends on the type of loan, your credit score, and your lender.

What are the minimum down payment options for a $300K house?

Every path to buying a home is a little different, especially when it comes to the down payment on a $300,000 house. Lenders look closely at your credit score, gross monthly income, and debts to decide if you qualify for a loan. Some loan programs let you buy a home with little or no down payment if you meet the right conditions.

Explore your home buying options. Start here

0% down payment options

If you’re looking for the cheapest way to buy a house, there are ways to do it without a traditional down payment. With VA loans and USDA loans, you can buy a $300,000 house with no down payment whatsoever. Here’s what to know about each one.

VA loans

VA loans help eligible service members, veterans, reservists, National Guard members, and certain surviving spouses buy a home with no down payment requirement. While the Department of Veterans Affairs doesn’t set a minimum credit score, most lenders look for FICO scores between 620 and 660, though some may accept scores as low as 580. To get a VA loan, you’ll need to meet your lender’s mortgage application requirements and get a Certificate of Eligibility (COE), which your lender can help you with.

Check your VA loan eligibility. Start here

USDA loans

USDA loans are guaranteed by the U.S. Department of Agriculture. They help people buy a home with no down payment requirement in eligible rural and suburban areas. To qualify, you’ll typically need a credit score of 640. Your household income must also fall under the limit for the area, usually set at 115% of the area median income (AMI). You can use the USDA’s online tool to check if your income and the home’s location meet the guidelines.

Check your USDA loan eligibility. Start here

3% down payment options

You can buy a $300,000 house with just $9,000 down (3%) using a conventional loan, as long as your credit score is 620 or higher. Standard programs that offer this include the Conventional 97 loan, Fannie Mae’s HomeReady, and Freddie Mac’s Home Possible. These are home loan options for first-time home buyers.Keep in mind that if you put down less than 20% of the home price, you’ll need to pay for private mortgage insurance (PMI). You can remove PMI once your home equity reaches 20% of the loan amount.

Check your conventional loan eligibility. Start here

3.5% down payment options

You can buy a $300,000 house with just a $10,500 down payment using an FHA loan. These loans are easier to qualify for than conventional loans, especially if your credit score is lower. FHA loans allow scores as low as 580 with 3.5% down, or 500 if you can put 10% down. Just note that FHA loans charge mortgage insurance premiums (MIP), which last for the life of the loan unless you refinance into a different type of mortgage.You can buy a $300,000 house with $10,500 down using an FHA loan, which is typically easier to qualify for than other types of mortgage loans.

Check your FHA loan eligibility. Start here

20% down payment options

You can buy a $300,000 house with $60,000 down with any mortgage loan, but most buyers opt for a Putting $60,000 down on a $300,000 house—that’s a 20% down payment—can help you avoid PMI, lower your monthly mortgage payment, and lock in a lower interest rate. Many borrowers choose a conventional loan for this reason. A larger down payment means you borrow less upfront, which can save thousands over the life of the loan.“Some loans like FHA or HomeReady offer lower mortgage rates,” says loan expert Jon Meyer. “But it’s smart to run the numbers with a down payment calculator to see which loan program fits your budget best.”

Check your conventional loan options. Start here

What is the monthly payment for a $300K house?

With a 7% fixed interest rate, your monthly mortgage payment on a $300,000 house could range from about $1,600 to $2,300. The exact amount depends on your loan type, credit score, down payment, and other financial details. We used The Mortgage Reports’ mortgage calculator to estimate costs for different loan types, all using a 30-year term at a 7% interest rate.

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  • VA loan: $1,996 (zero down, no mortgage insurance)
  • USDA loan: $2,056 (zero down, includes $60 mortgage insurance)
  • FHA loan: $2,135 (3.5% down, includes $209 mortgage insurance)
  • Conventional loan: $2,251 (3% down, includes $315 mortgage insurance)
  • 20% down conventional loan: $1,597 (no mortgage insurance)

Note: These examples include only loan principal and mortgage interest based on a standard 30-year amortization schedule. They do not include additional housing costs, like property taxes, homeowners insurance, and homeowners association (HOA) dues because they vary from one region to the next.

Try our mortgage affordability calculator to model your housing payments using today’s mortgage rates.

How to afford the down payment for a $300K house

When planning a down payment for a $300K house, you have more options than you might think. From state programs to down payment assistance, there are resources designed to help first-time buyers make homeownership more affordable.

Down payment assistance

Down payment assistance programs (DPAs) can help cover the upfront costs of buying a $300,000 house, especially for buyers with low to moderate incomes. These programs may be offered as low-interest loans, forgivable loans, or grants, and some can even assist with closing costs. Each program sets its own rules, so it's important to speak with a loan officer, real estate agent, or Realtor to explore the options available in your area.

Check your loan options. Start here

Government grants

First-time home buyers may qualify for government grants that don’t need to be repaid. Local or state housing agencies often offer these to help cover part or all of the down payment. Eligibility can depend on income, location, or whether you're buying your first home. We’ve gathered a list of home-buying grants in each state to help you start your search.

Gifts from family and friends

Many lenders allow buyers to use cash gifts from family members to help with the down payment on a $300,000 home. The money must be a true gift—not a loan—and you will need a gift letter confirming this. You will also need to document the transfer, showing where the funds originated and how they were deposited into your account.

State-specific home buyer programs

Some states offer their home-buyer programs with benefits like grants, low-interest loans, or tax credits to help cover the down payment. These programs are often geared toward first-time buyers and may have specific income or price limits. In some cases, they’re targeted at specific professions or areas to make homeownership more accessible.

Employer-assisted housing programs

Employer-assisted housing (EAH) programs offer financial help through your workplace, such as down payment assistance, favorable loan terms, or even grants. These benefits can make homeownership more affordable and are often used by employers to attract and retain talent. Ask your HR team if your company offers a housing program.

Savings

Saving up for a larger down payment can reduce your monthly mortgage and help you qualify for lower interest rates. Consider setting up a dedicated savings account specifically for this goal and automating your contributions. Even small amounts add up over time and can give you more flexibility when you're ready to buy.

401(k) or IRA withdrawals

You may be able to use retirement funds to help with your down payment. First-time home buyers can withdraw up to $10,000 from an IRA without penalty. Some 401(k) plans also allow loans or withdrawals for home purchases. Because this can impact your long-term savings, it’s wise to consult with a financial advisor before making a decision.

FAQ: How much down payment for a $300K house?

Check your loan options. Start here

Does earnest money go toward down payment?

Yes, earnest money usually goes toward the down payment. When you close on a home, the amount you paid in earnest money is credited toward what you owe at closing.

What credit score is needed to buy a $300K house?

To buy a $300K house, you typically need a credit score of at least 580 for an FHA loan or 620 for a conventional loan. A higher score—around 720 or more—can help you qualify for better interest rates.

How much is the down payment for a $300K house?

The down payment for a $300K house can start at $9,000 with a 3% down conventional loan. FHA loans require a minimum down payment of at least $10,500, or 3.5% of the purchase price.

How much do I need to make to buy a $300K house?

To buy a $300K house, you’ll generally need to earn a household income around $80,000 per year, assuming 20% down, a 6.5% interest rate, and moderate existing debts. Your income needs may vary based on your financial situation.

What is my debt-to-income ratio?

Your debt-to-income ratio (DTI) is your monthly debt payments divided by your gross monthly income. For example, if you earn $4,000 per month and owe $1,000 in monthly credit card debts, your DTI is 25%.

How much house can I afford?

The amount of house you can afford depends on your income and debts. A standard guideline is to spend no more than 28% of your income on housing and 36% on all debts combined. This financial principle is commonly known as the 28/36 rule.

Ready to buy a new home?

You don’t have to figure it all out alone. Whether you’re working out the down payment for a $300,000 home, exploring loan options, or looking to avoid mortgage insurance, we’re here to help you navigate it all.

Start by getting preapproved with a trusted mortgage lender. It’s a simple way to see what you qualify for and move one step closer to the right home for you. Click below to begin your journey.

Time to make a move? Let us find the right mortgage for you


Peter Warden
Authored By: Peter Warden
The Mortgage Reports Editor
Peter Warden has been writing for a decade about mortgages, personal finance, credit cards, and insurance. His work has appeared across a wide range of media. He lives in a small town with his partner of 25 years.
Ryan Tronier
Updated By: Ryan Tronier
The Mortgage Reports Editor
Ryan Tronier is a personal finance writer and editor. His work has been published on NBC, ABC, USATODAY, Yahoo Finance, MSN Money, and more. Ryan is the former managing editor of the finance website Sapling, as well as the former personal finance editor at Slickdeals.
Aleksandra Kadzielawski
Reviewed By: Aleksandra Kadzielawski
The Mortgage Reports Editor
Aleksandra is endlessly curious about the housing market and loves turning what she learns into helpful content. She's a DePaul alum, licensed real estate agent, and NAR member who traded Chicago winters for Phoenix sunshine.