Compare home-purchase scenarios
Mortgage down-payment scenario comparison
Compare three entered mortgage down-payment scenarios by loan-to-value, cash to close, quoted fixed rate, PMI, monthly payment, and cost through a selected horizon.
Compare three purchase scenarios using the rates and private mortgage insurance (PMI) quotes you enter. The tool does not supply a rate, PMI amount, loan program, or minimum down payment.
Scenario 1
Scenario 2
Scenario 3
Enter comparable written estimates and calculate to compare cash required and modeled costs.
PMI is the monthly amount you enter, held constant for the selected horizon. If a quote has no PMI, enter $0. Government-backed mortgage insurance and other premiums may use different rules and are not modeled here.
How the comparison works
For each scenario, the tool calculates the down payment from the entered percentage, subtracts it from the home price to estimate the starting loan, and calculates loan-to-value (loan amount divided by purchase price). It estimates fixed-rate monthly principal and interest using the standard amortization formula with the annual rate divided by 12. Cash needed at closing is the down payment plus the closing-cost estimate you enter. The comparison also shows whether that amount fits within your entered available cash.
At the selected horizon, modeled cash paid is down payment plus closing costs plus monthly principal-and-interest and entered PMI payments. Remaining principal is shown separately; it is not subtracted from cash paid. The tool assumes constant monthly PMI and does not model when insurance may end, changing property value, taxes, homeowners insurance, other assessments, prepaid items, rate adjustments, or tax effects. Compare actual Loan Estimates and PMI disclosures; the lender's terms control.
The CFPB recommends estimating closing costs separately from the down payment and considering other savings needs. Its guidance says a higher down payment lowers loan-to-value and may affect the offered rate or whether mortgage insurance is required; loan options and costs vary. CFPB down-payment guidance (last modified October 1, 2025; checked November 3, 2026): Determine your down payment. CFPB loan-to-value guidance (last reviewed January 14, 2025; checked November 3, 2026): What is a loan-to-value ratio and how does it relate to my costs?
For a broader estimate with property taxes, homeowners insurance, PMI, and association fees, use the full monthly housing-cost estimator. Compare PMI cancellation benchmarks separately with the PMI cancellation checker; it does not determine whether a new loan requires insurance.
How it works
Enter the home price, loan term, comparison horizon, estimated closing costs, and cash available. For each scenario, enter the down-payment percentage, fixed rate, and monthly PMI quote from comparable written estimates.
Good to know
Does a larger down payment always mean a lower mortgage cost?
Not necessarily. A larger down payment reduces the modeled loan and loan-to-value ratio, but offered rates, insurance, fees, programs, and cash needs vary. Compare current written Loan Estimates using consistent assumptions.
Does this tool estimate PMI?
No. Enter the monthly PMI amount from a lender quote or written estimate for each scenario. The tool holds it constant through your selected horizon and does not model cancellation or government-backed mortgage insurance.
What does cash paid through the horizon include?
It adds the down payment, entered closing costs, modeled monthly principal and interest, and entered monthly PMI through the selected month. It shows remaining principal separately and excludes taxes, homeowners insurance, assessments, maintenance, moving costs, prepaid items, and tax effects.
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