Is it better to put more money down or keep cash for repairs?
Putting more money down lowers your loan amount, monthly payment, and potentially your interest rate, and it may help you avoid private mortgage insurance if you reach 20 percent equity. Keeping cash reserves gives you a cushion for unexpected repairs, especially important with older homes or if you are stretching your budget. In Arizona, major systems like HVAC and pool equipment can be expensive to replace. The right balance depends on your loan type, interest rate, monthly budget, the home's condition, and your comfort with risk. You want enough liquidity to handle emergencies without being house poor. The specifics depend on your situation and a licensed lender should confirm what makes sense for your finances, and Jon can connect you with one.
Specifics depend on your situation and should be confirmed with a licensed lender. Jon can connect you with one: text (623) 826-0888.
More on affordability and budgeting
- How much house can I afford?
- How much should I budget for maintenance and repairs each year?
- Should I pay off my car loan or student loans before buying a house?
- How much should I save besides the down payment?
- What will my total monthly payment be with taxes, insurance, HOA and PMI?
- What are typical utility costs in Phoenix for electric, water, gas and trash?
Meet Jon Hegreness
Jon Hegreness
REALTOR / Associate Broker · Howe Realty
AZ License BR540940000
Full-time Phoenix North Valley REALTOR and Associate Broker with 24 years in Arizona residential real estate. A negotiator and problem solver who works the way you would want a friend in the business to work: direct, on your side, and steady through the parts that get complicated.