Then most people you know are buying more house than they can afford.
20% down is not excessive if you buy a starter home and then sell and buy your way up.
Lenders used to do piggy-back loans where you would close 2 loans on the property. 1 smaller loan was at a higher rate (but below PMI rates), in order to make the bigger loan below the 80% also threshold.
I am not sure if lenders have brought those back,yet like they have the 3% down loans.