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The 80-20 Rule

In the mortgage world, the 80-20 rule means that lenders want you to have at least 20% of the loan covered by someone besides them in case something goes sideways. This 20% can come from you providing a cash payment, the government guaranteeing the 20%, or from private insurance or investing. It is where this 20% comes that helps determine which loan program you fit into.

Do you have at least 20% of the purchase price in cash?

(click your answer below)

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