As long as you have good enough credit, there should never be a reason to put 20% down. As has been stated prior, FHA loans only require 3.5% down and there are several options for 0% down. The advantages 20% give you are less restrictions on the loan and in most cases, a more favorable interest rate..although with rates still as low as they are now, you wouldn't be saving that much. Sounds like you are in great shape. I would suggest finding a buyers agent to assist you as this also should not cost you anything and questions like this could be easily answered in person. Good luck with your home search and eventual purchase!!