"How much do I need?" That's the first question out of every first-time homebuyer's mouth, according to Aaron Schwartz, a real estate agent with Branches Realty in Washington, D.C.
The rule of thumb, he said, is that you typically need 20% of the purchase price for a down payment, and can count on paying 2% to 5% of the purchase price in closing costs.
But many people actually need a lot less for their down payment. And — surprise! — they often need more for closing costs.