If you’re looking to avoid expected interest rate hikes and buy a home now, you may be wondering if you have enough money for a down payment.

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Conventional mortgages generally require a 20% down payment. So if you’re buying a house for $200,000, you’ll need at least $40,000 for your down payment. You’ll also need to factor in closing costs, which typically total 3-6% of the home’s purchase price, according to Rocket Mortgage. However, closing costs can vary depending on a number of factors, including property taxes and points (upfront payments that can lower your interest rate) on the mortgage.

A 20% down payment on your mortgage can help you get the best interest rates, provided you have good or excellent credit. A 20% down payment also helps you avoid private mortgage insurance, or PMI. Most lenders require a PMI if your mortgage is over 20% of the home’s value.

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Some mortgages do not require a 20% down payment. FHA loans, for example, can require as little as 3.5% down payment for qualified borrowers. Some VA loans, which are guaranteed by the US Department of Veterans Affairs, may have no-down payment options for qualified veterans, current military service members, and their spouses.

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