If you’re scrolling listings in Columbus, Powell, Dublin, Westerville or Upper Arlington and thinking, “We’ll be ready… once we have 20% down,” you might be benching yourself for no good reason. The 20% rule is more tradition than requirement—and in Central Ohio, it can absolutely keep you on the sidelines longer than you need to be.

1. The Big Myth: 20% Is the “Right” Way to Buy

Let’s break the spell:

You do not need 20% down to buy a house in Columbus, Dublin, New Albany, Lewis Center, Delaware, or anywhere else.

Are there benefits to 20%? Sure:

• No PMI (private mortgage insurance)

• Lower monthly payment

• More equity on day one

But buyers close every single week around here with 3%, 5%, 10% down and end up in great homes in good neighborhoods. The “20% or nothing” mindset is how a lot of people watch prices rise while they keep saving for a number the bank never actually asked for.

2. The Real Trade-Off: Time vs. Equity

Every dollar you’re saving for a future down payment is a dollar that’s not participating in home appreciation.

Example mindset shift:

• If it takes you 3 more years to get from 10% to 20%, but prices in places like Powell, Westerville, or Evans Farm keep creeping up, did you really “win”?

• In many cases, getting in sooner with a smaller down payment means you start building equity while the market works for you, not against you.

Is a smaller down payment right for you? That depends on your budget, comfort level, and timeline—but it’s absolutely a conversation worth having instead of just assuming 20% is the only “smart” move.

3. What Smaller Down Payments Actually Look Like

Around Columbus and the suburbs, I see a ton of perfectly normal, responsible scenarios like:

• 3–5% down for first-time buyers in places like Dublin, Grove City, or Westerville

• 5–10% down for move-up buyers who are also keeping some cash for renovations after closing

• 10–15% down for buyers who could do 20% but prefer keeping more money in the bank for flexibility

Yes, PMI and slightly higher monthly payments are part of the conversation—but so is your life. Kids, cars, business plans, travel, emergencies… none of that pauses just because you closed on a house.

4. When 20% Does Make a Lot of Sense

There are definitely times I’ll look you in the eye and say, “Yep, 20% here is smart”—for example:

• You’re extremely payment-sensitive and want the lowest monthly outlay possible

• You’re buying at the top of your comfort zone in a pricier area like Upper Arlington or New Albany

• You’re sitting on a large amount of cash from a previous sale and it doesn’t wreck your reserves

Even then, we’re not just chasing 20% because a blog said so—we’re matching your down payment to your risk tolerance and future plans.

5. How We Decide the Right Number for You

This is where a quick strategy session actually matters:

• Your income, debts, and comfort zone with monthly payments

• How quickly you want to be in a home in Columbus, Powell, Dublin, Evans Farm, Westerville, New Albany, Lewis Center, or Delaware

• Whether you prioritize cash in the bank or lower payment / higher equity

• What current loan options and programs you’d realistically qualify for

My job isn’t to shame you into 20% or push you into 3%. It’s to walk you through the actual math and help you pick a down payment that gets you in the right house without blowing up the rest of your financial life.

If you’re sitting on the fence because you “only” have 5–10% saved, it might be time to stop guessing and start planning.

[Contact Patrick Murphy, REALTOR® — Columbus, Powell & Dublin Expert]