What Is a Down Payment?

<p>Whether you&rsquo;re eyeing your dream home or the latest car, the term &ldquo;down payment&rdquo; often pops up, shrouded in mystery and financial jargon. In essence, a down payment is your upfront contribution to the purchase price of a big-ticket item. It demonstrates your commitment and reduces the total amount you need to borrow. Think of it as an investment in the item itself and your financial future.</p> <p><strong>Where Do Down Payments Show Up?</strong></p> <p>The following are the most common in major purchases:</p> <p>&middot; Real estate: Down payments on houses typically range from 3% to 20% of the purchase price, though some programs allow for 0% down.</p> <p><a href="https://wire.insiderfinance.io/what-is-a-down-payment-7be7dabb5cfc"><strong>Read More</strong></a></p>