Down payments....

you could put down 10% hehe. and also 20 to 25% for commercial property.

armchair_warrior wrote: also if you dont really have the money. you could do a illegal but sometimes used trick.

say place is 200k. and the seller would secretly refund you the money to buy the place as the down payment. so he gives you 20k and you pay him 220k for the whole place. the mortgage company is none the wiser. there is alot of those around.

Banks will often allow this to be done legally up to 6%. It is called a seller's concession and is meant to be used to finance the closing costs. Some banks will only allow the amount to be equal to the actual closing costs, some are less strict. You do need to disclose it to the bank or else it is mortgage fraud and is illegal as armchair mentioned. That said, people do it all the time but I'd recommend against it.

On the original question, the type of property will play into the amount you have to put down as well. Co-ops usually require a larger down payment. Some Condos will allow as little as 5% down, some want more. If you are buying a 1-4 family house, up to 106% is possible, 100% plus the 6% for closing cost via the seller's concession. However, if you only put 3% or 0% down you will pay a significant premium in rates.

If you are a little handy and don't mind having tenants, a 2-4 unit place may be your best bet. You can buy with little down and the rental income helps to pay your mortgage. It's not for everyone, it is like a second part time job but can be worth it in the long run.