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so you can either put 20 for the down payment or 3.5 ill go with a 3.5 option with the 3.5 option youll have a higher mortgage payment and you have to pay pmi and that means youll be paying tens of thousand dollars more in interest and fees yep but by doing it this way ill become a millionaire how is that possible the purchase price of the home is 500 thousand dollars at 20 down my mortgage will be 400k and ill be paying 2400 a month yes but at 3.5 your mortgage will be 482 500 your monthly payment will be 2 900 and over the lifetime of the loan youll be paying 559 thousand dollars in interest plus another 200 a month in pmi thats almost 100 000 more that youll be paying in interest and fees it is but im gonna invest the difference in the down payment so instead of putting a hundred thousand dollars down im only putting 17 500 and investing the other 82 500 in the stock market historically its returned around 10 per year and compounded over 30 years ill end up with 1.44 mil