If you’re thinking of buying a new home, you may be asking yourself, “how much do I need for a down payment?” While everyone’s home buying situation is different, here’s what you can expect to pay upfront
for your first home.

What is a down payment? When applying for a mortgage, the down payment is the upfront contribution
you pay toward the purchase of a home. You may have heard that lenders require a 20% down payment,
​​​​​​​but that’s actually just the threshold many use for requiring mortgage insurance on a conventional home loan.

How much do you really need? Realistically, most first-time buyers need at least 3% down for a conventional mortgage loan or 3.5% for an FHA loan. That means you’d need to save between $10,500
and $12,250 to purchase a $350,000 home. Bear in mind that you will have to put at least 20% down on
your mortgage loan to avoid having to pay private mortgage insurance (PMI), which protects the lender if
you default on your mortgage loan.

Do you always need a down payment? Certain federal home loan programs (VA or USDA) allow nothing down, but these have special requirements. In some instances, first-time buyers qualify for federal- or state-funded down payment assistance, so be sure to ask your real estate agent or lender what help is available.

Home Buying Tips: What Can I Afford?

If you’re in the market for a new home, the first thing you need to do is determine your price range.
Here are a few tips to consider when estimating how much house you can afford.

Use your salary as a guide. While estimates vary depending on whom you ask, a good rule is to search for homes that are about 2.5 times your household annual income (pre-tax). If you have very little debt, you can increase that number a little.

Calculate your DTI. When you apply for a mortgage, lenders will look at your debt-to-income ratio (DTI) – essentially, how much you earn versus how much you owe. The lower your DTI, the better (most lenders like to see a ratio of about 43% or less). By calculating your DTI in advance, you’ll have a better idea of what you might expect in terms of a loan.

Set aside money for additional costs. Closing costs can be as much as 5% or 6% of your loan amount,
so you’ll need to include that as part of your home buying budget. Keep in mind, too, that once you’re settled in your new home, there will be expenses other than just your mortgage to consider. Build in a monthly amount for home repairs and maintenance.

Sophisticated Storage: Elegant Home Pantries

Whether they’re used for storage space or staging areas, walk-in pantries have become popular upgrades
for today’s luxury homes. Also known as butler’s pantries, these upscale additions provide excellent utility while serving as beautiful extensions of the kitchen. Here are some trending luxury pantry design concepts
to consider for your home.

Innovative Pantry Ideas

Modern luxury homeowners are incorporating innovative storage concepts that blend harmoniously with diverse interior design schemes. A big part of this trend centers on walk-in pantries, which have become
the latest must-have for luxury homeowners seeking to elevate every square inch of their upscale homes.

But if you’re imagining a glorified food inventory with shelves of apothecary jars and cork-topped spice containers, think again. A growing number of properties are incorporating spacious Instagram-worthy pantries, with some reaching the status of second kitchens.

The Wall Street Journal recently highlighted this growing trend in a story featured in its popular ‘Mansion’ section. The piece profiled higher-end pantries that essentially serve as auxiliary kitchens in upscale homes. And while it’s easy to see the appeal of a second functional kitchen hidden out of sight, luxury walk-in pantries can vary in purpose and size.

Whatever the scale, there’s plenty of room for personalization based on your unique needs, preferences
and interior design scheme. But what truly makes a walk-in pantry functional and luxurious?