However, if you are buying a condo, you may be required to make a larger down payment. It all depends on the condo association. Your mortage professional will be able to guide you.
Best of luck!
Stefanie Cohen, PA, ABR, SFR
Prudential Florida Realty
If you are doing 20% on a conventional loan in a Single Family Home to be used as primary residence then you save money by not having to pay Mortgage Insurance, giving you a monthly savings on average of $90 for a 100K home.
Back in 2005 they were getting people to get 2 separate loans, one for 80% and one for 20% frequently from different lenders...I have not seen any of those since the market bubble exploded.
Hope this clarifies the possible definitions of 80/20.
Holders who finance with this form of mortgage do not have to pay PMI (private mortgage insurance) which is required by lenders where the borrower puts down less than 20%. This can save you about $270/month on these kind of numbers. A conventional mortgage borrower is often seen as more a more attractive prospective buyer to a Seller too.
Hope this helped! If I can help in any other way, or to help you find a property, just let me know,
Villa G Realty, Inc.