$1,517/mo
Principal & Interest — No PMI
A $300,000 home with 20% down requires $60,000 at closing and finances the remaining $240,000. At 6.5% interest over 30 years, the monthly principal and interest payment is approximately $1,517 — and because you've crossed the 20% threshold, no PMI is required.
Property taxes and homeowner's insurance typically add $300–$600/month, putting total estimated housing costs at $1,817–$2,117/month — the lowest all-in cost structure for a conventional $300K mortgage.
Calculate Your Exact Payment →The $1,517 figure reflects a $240,000 loan at exactly 6.5% over 30 years. Your actual rate and home price will shift the payment. Use the Mortgage Calculator to model your exact scenario, including different rates or loan terms.
At 20% down, you save $76,440 in total interest compared to financing the full $300,000 — plus you avoid years of PMI payments. Total interest over 30 years is $306,120, representing 127.5% of the $240,000 loan. That's the cost of the 6.5% rate over time, but it's the best-case figure for a standard 30-year conventional loan on this home.
The 20% threshold matters for two distinct reasons:
| Down Payment | Down Amount | Loan Amount | Monthly P&I | PMI Est./mo | Total Interest |
|---|---|---|---|---|---|
| 0% | $0 | $300,000 | $1,896 | ~$125–$375 | $382,560 |
| 5% | $15,000 | $285,000 | $1,801 | ~$100–$285 | $363,360 |
| 10% | $30,000 | $270,000 | $1,707 | ~$68–$180 | $344,520 |
| 15% | $45,000 | $255,000 | $1,612 | ~$51–$128 | $325,320 |
| 20% | $60,000 | $240,000 | $1,517 | None | $306,120 |
| 25% | $75,000 | $225,000 | $1,422 | None | $287,520 |
The jump from 10% to 20% down costs $30,000 more upfront but saves $190/month in P&I and eliminates $68–$180/month in PMI — a combined monthly benefit of $258–$370. At $260/month average savings, that $30,000 breaks even in roughly 7 years, with savings continuing every month after.
See how a 20% down payment scales across different purchase prices. Each page includes full rate tables and term comparisons.
Browse all 37 price points on the Mortgage & Real Estate hub.
With 20% down ($60,000) on a $300,000 home at 6.5% over 30 years, the monthly principal and interest is approximately $1,517 — with no PMI required. Adding property taxes and homeowner's insurance, total monthly housing costs typically land between $1,817 and $2,117.
20% of $300,000 is $60,000. That leaves a $240,000 loan balance. You'll also need funds for closing costs — typically $6,000–$15,000 — so total cash needed at closing is generally $66,000–$75,000. The advantage is that the loan has no PMI and your monthly payment is the lowest available for this home price.
No — 20% down is a threshold, not a requirement. Conventional loans allow as little as 3% down, FHA loans go as low as 3.5%, and VA and USDA loans allow 0% down. The difference is that anything under 20% on a conventional loan requires PMI. Many buyers put less than 20% down and simply pay PMI until their equity reaches that level through payments or appreciation.
It depends on the math for your situation. Putting 20% down "earns" a guaranteed return equal to your mortgage rate (6.5% here) by avoiding interest on that $60,000. If you can consistently earn more than 6.5% in other investments, the opportunity cost of putting that cash in the home is real. However, investing also carries risk, while paying down mortgage debt is guaranteed. Many financial planners suggest a middle ground — put enough down to avoid PMI (20%), then invest additional savings rather than going to 25% or 30% down.