The minimums are lower than the myth
Conventional loans allow low single-digit down payments for qualified buyers, FHA requires 3.5% down, and VA offers zero down for eligible borrowers. On a condo at Deerfield price points, that can put ownership within reach of buyers who assumed they needed years more saving. Twenty percent down is a trade-off — no mortgage insurance and a smaller payment — not a requirement.
PMI on a condo works like PMI anywhere
Below 20% down on a conventional loan you'll pay private mortgage insurance, which can be requested off once your balance reaches 80% of the home's value and ends automatically at 78%. FHA treats mortgage insurance differently and it can last much longer, so if you're comparing the two, ask your lender to show both loans across several years, not just month one.
Where first-time buyers find the funds
Savings, family gifts, retirement account loans and proceeds from a home sold elsewhere are the usual sources. Gifts need a signed letter and a traceable transfer — keep the paperwork clean. Down payment assistance programs for eligible first-time buyers within income limits exist at the state and local level; ask your lender what's currently funded, since availability changes.
Plan the full monthly cost
Condo fees, insurance and in some zones flood coverage join your loan payment. A down payment that leaves reserves after closing is worth more than one that empties the account — coastal homeownership rewards a cushion.
Let's talk it through
Share your price range and timeline and I'll point you toward lenders who will lay out your options without pressure.
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