How much should you save for a house down payment?
Calculate the monthly contribution you need to save to cover the down payment and closing costs on your next home.
Results
Required monthly contribution
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Total contributed
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Interest/return earned
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Monthly contribution = (savings goal ∑’ initial capital — (1 + r)^n) · [((1 + r)^n ∑’ 1) · r], where r is the monthly return and n the number of months. At 0% return, the contribution is simply (goal ∑’ initial capital) · n.
Your initial capital already reaches (or exceeds) your goal at this return and timeframe! You don't need to contribute anything more.
Savings projection
How much should you save for a house down payment?
This page preloads the savings goal calculator with a very common case: buying a €200,000 home, the same figure used in our €200,000 mortgage guide. With a 20% down payment (€40,000) and an extra 10% in closing costs (€20,000) — taxes, notary, land registry and paperwork — the preloaded goal is €60,000 over 5 years, at an expected 3% annual return. Adjust any field to match your own situation.
With those numbers (€60,000 over 5 years at 3% annually, no starting capital), the required monthly contribution is €928.12. You would contribute €55,687.29 out of pocket over the period, and the remaining €4,312.71 toward the goal would come from interest earned on that 3% return.
With no return at all (0%, for example saving in a non-interest-bearing current account), the required monthly contribution would rise to exactly €1,000: €71.88 more per month than if that money earned 3% annually. The longer the timeframe and the higher the return of the product you save in, the smaller the monthly effort needed for the same goal.
The 20% down payment reflects the typical financing limit of Spanish banks (up to 80% of the appraised or purchase value, whichever is lower); the 10-12% in closing costs covers transfer tax or VAT depending on whether the home is resale or new-build, notary, land registry and paperwork fees. If you already have some savings, enter them in the starting capital field.
Frequently asked questions
Where do the 20% down payment and 10% closing costs come from?
Spanish banks typically finance at most 80% of the appraised or purchase value (whichever is lower), so you need at least a 20% down payment. On top of that, budget an extra 10-12% for closing costs: transfer tax or VAT depending on the property type, notary, land registry and paperwork.
What if I already have some money saved?
Enter it in the starting capital field: the calculator subtracts what that capital would already generate on its own over the timeframe, so the required monthly contribution goes down.
What return rate should I use if I save in a non-interest-bearing account?
Use 0%: it is the most conservative choice and avoids underestimating the required monthly contribution. If you use a high-yield savings account or a term deposit, you can use its real APY — compare options with our savings account vs. deposit calculator.
Does this calculator account for home prices rising while I save?
No, it assumes the target price stays constant in today’s euros. If you expect it to rise during your savings period, increase the savings goal accordingly.