A Real Estate Myth that Won’t Die? The 20% Downpayment

2 out of 3 Americans still think they need to put 20% down to buy a home, per a NerdWallet report. But a good strategy and 3% down are the only things required.

NEW YORK – Many Americans may be unnecessarily talking themselves out of homeownership. Thirty-seven percent of non-homeowners say not having enough saved for a downpayment is holding them back from homeownership, but 62% of Americans incorrectly believe you have to have at least 20% of a home’s purchase price to buy, according to NerdWallet’s 2020 Home Buyer Report.

The truth is: You don’t need 20% of a home’s price to buy it. Some lenders offer mortgages with as little as 3% down. So, how do you know just how much you need to save up based on your specific goals? It requires a little strategizing.

Before you can zero in on a downpayment target, determine how much

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