Key takeaway
Most buyers need far less than 20% down: the minimum is 0% for eligible VA buyers (and USDA in qualifying rural areas), 3% for conventional loans through HomeReady or Home Possible, and 3.5% for FHA with a 580 credit score. On Acworth's typical $406,860 home (Zillow, August 2026), 3.5% down is $14,240.10. Nationally, the median first-time buyer put down 10% (NAR 2025).
At a glance
| Acworth typical home value (Zillow, Aug 2026) | $406,860 |
|---|---|
| VA minimum down payment | 0% if price is not above appraised value |
| Conventional minimum (HomeReady, Home Possible) | 3% |
| FHA minimum (580+ credit score) | 3.5% |
| Median first-time buyer down payment (NAR 2025) | 10% |
Minimum down payment by loan type
The loan you choose sets the floor. Lenders can ask for more than these minimums, and your credit score, debts and the property all play a part, so treat this as the starting point for a conversation with a lender rather than a promise of approval.
VA loans: 0% down
VA.gov says an eligible veteran or service member can buy with no down payment as long as the sales price is not higher than the appraised value. There is no monthly PMI or MIP. Most first-time VA borrowers pay a one-time funding fee instead: 2.15% with less than 5% down, 1.5% with 5% or more, and 1.25% with 10% or more (rates effective April 7, 2023, still current on VA.gov). Veterans who receive VA disability compensation are among those exempt.
On Acworth's $406,860 typical value with nothing down, a 2.15% fee is $8,747.49. Financed, that makes a $415,607.49 loan and about $2,843.64 a month in principal and interest at 7.28%. The VA loan guide for Georgia covers entitlement and the Georgia Dream Peach Select VA option.
USDA loans: 0% down, if the address qualifies
USDA guaranteed loans can finance up to 100% of the appraised value plus the upfront guarantee fee, so no down payment is required. For fiscal year 2026 (October 1, 2025 to September 30, 2026) the fees were 1.00% upfront and 0.35% a year; ask the lender which fee schedule applies on your closing date. Household income must stay at or under $135,500 for 1 to 4 people in Cobb, Paulding, Cherokee and Bartow counties.
The catch near Acworth is location. USDA's eligibility map data shows downtown Acworth and Lake Acworth as not eligible, so most buyers here will not be able to use it. Check any address with USDA's tool, and see the USDA loan guide for how to read the map.
Conventional loans: 3% down through HomeReady or Home Possible
Fannie Mae's HomeReady and Freddie Mac's Home Possible both allow 3% down. HomeReady has no minimum personal contribution and accepts gifts, grants and Community Seconds. Both cap qualifying income at 80% of the area median income for the property's location, and Fannie Mae tells lenders to use its own income figures rather than HUD's, so use the Fannie Mae or Freddie Mac AMI lookup tool or ask a lender for the exact 2026 limit at your Acworth address.
Conventional loans outside these two programs have their own minimums, which vary by lender and loan. Ask each lender you talk to for the lowest down payment they offer on a standard conventional loan.
FHA loans: 3.5% down with a 580 credit score
HUD's Handbook 4000.1 (Update 18, August 2026) caps an FHA purchase at 96.5% of the value, so the minimum required investment is 3.5%. That applies with a credit score of 580 or higher. Scores from 500 to 579 are limited to 90% financing, which means 10% down.
FHA adds an upfront mortgage insurance premium of 1.75% of the base loan, usually financed, plus an annual premium. The 2026 FHA loan limit for a one-unit home in Cobb, Paulding, Cherokee and Bartow counties is $718,750, well above Acworth's typical value. Details are on the FHA loan in Georgia page.
What 3%, 3.5%, 5%, 10% and 20% down cost on an Acworth home
Zillow's typical home value for Acworth was $406,860 in August 2026. The table applies each down payment to that price, with a 30-year loan at 7.28%, Freddie Mac's average 30-year rate for the week of October 1, 2026. These are illustrations, not a rate quote, and the payment column is principal and interest only, before property tax, insurance, mortgage insurance and any funding fee.
| Down payment | Cash down | Loan amount | Monthly principal and interest at 7.28% | Georgia intangible tax |
|---|---|---|---|---|
| 0% (VA or USDA) | $0 | $406,860.00 | $2,783.79 | $1,221.00 |
| 3% | $12,205.80 | $394,654.20 | $2,700.27 | $1,185.00 |
| 3.5% | $14,240.10 | $392,619.90 | $2,686.35 | $1,179.00 |
| 5% | $20,343.00 | $386,517.00 | $2,644.60 | $1,161.00 |
| 10% | $40,686.00 | $366,174.00 | $2,505.41 | $1,099.50 |
| 20% | $81,372.00 | $325,488.00 | $2,227.03 | $976.50 |
How the math works: cash down is the price times the percentage, the loan is the price minus the down payment, and the payment uses the standard 360-month formula at 7.28%. Georgia's intangible recording tax is $1.50 for each $500 of the loan (O.C.G.A. 48-6-61), so a smaller loan also trims that closing cost. A financed FHA premium or VA funding fee raises the loan, and the tax, slightly.
3% down: $12,205.80
This is the conventional floor through HomeReady or Home Possible, so the income cap applies. You will pay PMI. With less than 10% down, Fannie Mae limits what the seller can contribute toward your costs to 3% of the price, which is $12,205.80 here.
3.5% down: $14,240.10
The FHA minimum. At 96.5% financing, HUD's annual premium is 0.55% for the life of the loan. Adding the 1.75% upfront premium gives a loan of about $399,491 and principal and interest of about $2,733, plus roughly $180 a month of annual premium in the first year.
5% down: $20,343.00
Five percent matters most for VA buyers who choose to put money down: the first-use funding fee falls from 2.15% to 1.5%. On a $386,517 loan that fee is $5,797.76 instead of the $8,747.49 a zero-down buyer pays on the full price. On an FHA loan, 5% to under 10% down lowers the annual premium from 0.55% to 0.50%, though it still lasts for the life of the loan. On a conventional loan you still pay PMI and the seller-contribution cap is still 3%.
10% down: $40,686.00
Ten percent is what the median first-time buyer put down nationally in NAR's 2025 Profile. On an FHA loan it changes the annual premium to 0.50% and ends it after 11 years. On a VA loan the first-use fee drops to 1.25%. On a conventional loan, Fannie Mae's seller-contribution cap rises to 6%, or $24,411.60 on this price.
20% down: $81,372.00
Your loan starts at $325,488, exactly 80% of the price. Conventional loans with less than 20% down usually carry PMI, so this is the level where most buyers avoid it. The payment is $459.32 a month lower than at 3.5% down, but you need $67,131.90 more in cash up front.
What first-time buyers actually put down
NAR's 2025 Profile of Home Buyers and Sellers, covering purchases from July 2024 to June 2025, put the median first-time buyer down payment at 10%, the highest since 1989. Repeat buyers put down a median 23%. First-time buyers were 21% of all buyers, a record low, and their median age was 40.
The same survey shows where the money came from: 59% of first-time buyers used personal savings, 26% drew on financial assets such as a 401(k), stocks or crypto, and 22% used a gift or loan from family or friends. Many used more than one source. If 10% feels out of reach, remember it is a median, not a requirement: the loan minimums above start at 0% to 3.5%.
PMI and when it ends
Private mortgage insurance protects the lender on a conventional loan with a small down payment. Freddie Mac estimates it at about $30 to $70 a month per $100,000 borrowed. On the 3% down Acworth loan of $394,654.20, that is roughly $118.40 to $276.26 a month. Your actual price depends on your credit and down payment, so ask the lender for a quote.
When you can ask to cancel PMI
Under the Homeowners Protection Act rules summarized by the CFPB, you can ask in writing to cancel PMI once your balance is scheduled to fall to 80% of the home's original value. You need a good payment history, no second mortgage or other junior lien, and possibly evidence that the value has not dropped. On a $406,860 purchase, 80% is $325,488. With 3% down at 7.28% and no extra payments, the original schedule reaches that point around payment 143, just under 12 years in. Extra principal payments get you there sooner.
When PMI ends automatically
Your servicer must cancel PMI automatically when the balance is scheduled to reach 78% of the original value, $317,350.80 on this price. On the same 3% down schedule that is around payment 154, about 12 years and 10 months in. PMI must also end the month after the loan reaches the midpoint of its term, 15 years on a 30-year loan, if you are current. These rules apply to single-family mortgages closed after July 29, 1999.
FHA and VA work differently
FHA mortgage insurance does not follow the PMI rules. On a 30-year FHA loan, HUD's annual premium is 0.55% for the life of the loan with less than 5% down, 0.50% for the life of the loan with 5% to under 10% down, and 0.50% ending after 11 years with 10% or more down. VA loans have no monthly mortgage insurance at all; the funding fee is the cost instead. Ask the lender how long any mortgage insurance on your loan will last before you choose a down payment.
Can gift money cover the down payment?
Often, yes, but each loan type limits who can give and what paperwork is needed. Ask your lender which gift letter and bank records they want before any money moves, because undocumented deposits can slow an approval.
FHA gift rules
HUD allows gifts from a family member, your employer or labor union, a close friend with a documented interest in you, a charitable organization, or a government or public homeownership program. The lender will document the source.
Conventional 3% loans
Fannie Mae's HomeReady accepts gifts, grants and Community Seconds, with no minimum contribution from your own funds. Freddie Mac's Home Possible allows flexible sources such as family, employer assistance, secondary financing and sweat equity.
What seller money can and cannot pay
On a conventional loan, Fannie Mae lets a seller or other interested party pay closing costs and prepaid items, but not the down payment, reserves or your minimum contribution. The cap is 3% of the price with less than 10% down, 6% with 10% to 25% down, and 9% with more than 25% down. So a seller credit can free up your savings for the down payment, but it cannot replace it.
Down payment help for Acworth buyers
Assistance programs can cover much of a 3% or 3.5% down payment. The full list, with limits, is on the Georgia first-time home buyer programs page; here is how the main options touch your down payment.
Georgia Dream
Georgia's Department of Community Affairs offers down payment assistance of 5% of the price or $10,000, whichever is less, or 6% or $12,500 for PEN and Choice buyers (2026 figures; DCA says to confirm amounts). On a $406,860 home both caps apply in full. The assistance is a 0% interest second mortgage with no monthly payment, due when you sell, refinance or stop living in the home. You must put in at least $1,000 of your own money or documented gift funds.
Worked example: an FHA buyer needs $14,240.10 down on the Acworth typical value. With $10,000 of Standard assistance, the remaining $4,240.10 comes from you; with $12,500 of PEN or Choice assistance, $1,740.10 does. In Cobb, Cherokee and Paulding the 2026 limits are a $625,000 price and $137,555 income for 1 to 2 people or $158,188 for 3 or more, with a 640 credit score and a homebuyer course. See Georgia Dream for the rules and current rate.
Peach Plus and Peach Advantage
For buyers who do not fit standard Georgia Dream rules, Peach Plus (FHA and VA) offers 3.5% of the price or $10,000, or 4% or $12,500 for PEN or Choice, whichever is less. Peach Advantage (conventional) offers 2% to 5% of the first loan amount. Both have higher 2026 price and income limits; compare them on the PEN, Choice and Peach Plus page.
Cobb County My Home
The Housing Authority of Cobb County offers a non-repayable grant of 0%, 1% or 2% of the first mortgage amount, with no first-time buyer requirement. The Cobb County homebuyer assistance page covers who qualifies.
Cash you need beyond the down payment
The down payment is the largest check, not the only one. Georgia closing costs averaged $5,106, or 1.24% of the sale price, in Bankrate's 2025 data, including taxes. On $406,860, 1.24% is about $5,045.06. Add that to a 3.5% down payment and you are planning for about $19,285 before moving costs.
Earnest money is due soon after the seller accepts your offer: under the standard Georgia contract, the holder deposits it within five banking days. It is usually credited toward your costs at closing, but it has to be in your account early. The intangible tax in the table above and Georgia's transfer tax, which the standard contract assigns to the buyer, are part of closing costs. The Georgia closing costs guide lists every line.
If you use Georgia Dream, note the other side of the rule: you cannot keep more than $20,000 or 20% of the price, whichever is greater, in liquid assets after closing (retirement accounts do not count). Ask a participating lender how that applies before deciding how much to put down.
To weigh a smaller down payment against a larger one, ask two or three lenders for Loan Estimates at two different amounts and compare the monthly difference with the extra cash needed. You can test payments at different prices with the affordability calculator, and I can run these numbers on a specific Acworth listing with you.
Common questions
How much do you need for a down payment on a $300,000 house?+
It depends on the loan. On $300,000, 3% is $9,000 (HomeReady or Home Possible), 3.5% is $10,500 (FHA with a 580 score), 5% is $15,000, 10% is $30,000 and 20% is $60,000. An eligible VA buyer can put $0 down if the price is not above the appraised value. Closing costs come on top, so ask a lender for a Loan Estimate.
Do you have to put a 20% down payment on a house?+
No. FHA allows 3.5% with a 580 credit score, HomeReady and Home Possible allow 3%, and VA allows $0 down for eligible buyers. The median first-time buyer put down 10% in NAR's 2025 Profile. Putting down less than 20% on a conventional loan usually means paying PMI, which you can ask to cancel at 80% of the original value.
Is $30,000 enough for a down payment on a house?+
On Acworth's typical $406,860 home (Zillow, August 2026), $30,000 is about 7.4% down. That clears the 3.5% FHA minimum of $14,240.10 and 5% at $20,343, but falls short of 10% at $40,686. Remember closing costs, which averaged 1.24% of the price in Georgia in 2025, or about $5,045 on that home.
Can I buy a house with a $5,000 down payment?+
Possibly, with help. $5,000 is about 1.2% of Acworth's $406,860 typical value, below the 3% and 3.5% minimums. VA loans need no down payment for eligible buyers, and Georgia Dream assistance of up to $10,000 or $12,500 can cover much of an FHA or conventional down payment if you meet its 2026 income, price and credit rules. A participating lender can confirm whether you qualify.
Can the seller pay my down payment?+
Not on a conventional loan. Fannie Mae lets the seller pay closing costs and prepaid items, capped at 3% of the price with less than 10% down, but not the down payment or your minimum contribution. A seller credit can still help by covering costs you would otherwise pay from savings. Ask your lender how seller credits work on FHA, VA or USDA loans.
When does PMI go away?+
On a conventional loan you can ask in writing to cancel PMI when your balance is scheduled to reach 80% of the home's original value, and the servicer must end it automatically at 78%, per the CFPB. On a $406,860 home with 3% down at 7.28%, that is roughly 12 to 13 years on the original schedule. FHA premiums follow different rules.
Does Georgia Dream down payment assistance have to be paid back?+
Yes. Georgia DCA describes the assistance as a 0% interest second mortgage with no monthly payment that is not forgiven. You repay it when you sell, refinance or stop living in the home as your main residence. Some third-party sites call it a grant; follow DCA's terms and ask a participating lender to show the repayment terms.
Sources
- Zillow Research: Zillow Home Value Index (Acworth, August 2026)
- Freddie Mac: Primary Mortgage Market Survey (week of October 1, 2026)
- NAR: First-Time Home Buyer Share Falls to Historic Low of 21%, Median Age Rises to 40 (2025 Profile)
- VA.gov: VA-backed purchase loan
- VA.gov: VA funding fee and loan closing costs
- FDIC: Affordable Mortgage Lending Guide, USDA Single Family Housing Guaranteed Loan Program
- USDA Rural Development: Fiscal Year 2026 Conditional Commitment Notice
- USDA Rural Development: Single Family Housing Income Eligibility tool
- USDA Rural Development: eligibility map data layer (Eligibility_Blocks_v3)
- Fannie Mae: HomeReady Mortgage
- Fannie Mae Selling Guide: B5-6-01, HomeReady Loan and Borrower Eligibility
- Freddie Mac: Home Possible
- HUD: Handbook 4000.1, FHA Single Family Housing Policy Handbook (Update 18, August 12, 2026)
- HUD: Mortgagee Letter 2023-05, Reduction of FHA Annual MIP Rates
- HUD: FHA Mortgage Limits lookup (CY2026)
- Georgia Department of Revenue: Intangible Recording Tax
- Freddie Mac My Home: Breaking down PMI
- CFPB: When can I remove private mortgage insurance (PMI) from my loan?
- Fannie Mae Selling Guide: B3-4.1-02, Interested Party Contributions
- Georgia DCA: Georgia Dream product page
- Georgia DCA: Georgia Dream program brochure (v. 2026-7-8)
- Georgia DCA: Georgia Dream Loan Program FAQs
- Georgia DCA: Georgia Dream Lender FAQs
- Georgia DCA: Peach Plus Loan Program
- Georgia DCA: Peach Advantage Loan Program
- Cobb County: Down Payment Assistance Mortgage Program (Housing Authority of Cobb County)
- Bankrate: Average closing costs by state (2025)
- Georgia REALTORS: Contract forms (Purchase and Sale Agreement F201; facts from the 2022 printing, current forms are members-only)
Lawrence Jackson
I am a Realtor® with Atlanta Communities and part of Team Jackson Sells Atlanta. I specialize in Acworth, Kennesaw, Marietta and Woodstock and serve all of Cobb County and metro Atlanta. You work directly with me at every step, from your first question to the closing table.
Realtor®, Atlanta Communities. General information, not legal, tax or lending advice.
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