How much is a downpayment on a house?

Featured

Written by:

Mortgage lenders traditionally have wanted to see borrowers put down 20% of a home’s purchase price. But what are the benefits and challenges of a down payment that’s less than 20%?  Is 20% down dated advice?

Let’s look at these questions and more to help you qualify for a home loan and ultimately turn your dream house into a reality.

Related: Guide to buying, selling and updating your home

Qualifying for a Mortgage Loan

The question of how much to put down on a house is really a subset of a bigger homebuying question: whether the house you want is within your budget. Many house hunters take their household gross annual income (before taxes) and multiply it by 2.5. That would be the most, they decide, they can afford for a house. So, if your household income is $150,000, the maximum purchase price, using this formula, would be $375,000. 

Note that this isn’t a formula used by a lender; it’s a general rule of thumb that people use. A lender often wants your total housing expense—monthly principal, interest, property taxes and insurance, plus any homeowners association fee or private mortgage insurance—to be, at most, 28% of your gross monthly income. So using the figure of $150,000, that would equal a maximum housing expense of $3,500 per month ($150,000/12 x 28%). Your estimated housing payment will depend on how much of a down payment is applied. 

Let’s say the house you want costs $329,000, which happens to be the recent median existing-home sales price nationwide.

If you were to finance the home, you’d need $65,800, plus closing costs, to swing a 20% down deal. So the first question is whether you have or can get those funds easily enough. If the answer is “yes,” then you can check your income against the formulas provided to see if it all works out according to plan. If you don’t have that kind of cash for the down payment—if you could afford a smaller down payment plus closing costs and still meet the income requirements—your next step would be to see which lenders offer home loans with that kind of program.

Mortgage loans generally fall into two categories: loans that are insured or guaranteed by the government and loans not insured or guaranteed by the government, which are called conventional loans. Government-backed mortgages are often easier to qualify for than conventional mortgages.

FHA Loans

One home loan option is a Federal Housing Administration (FHA) loan. FHA loans are a government program that was initially created to help people buy homes during the Great Depression. It’s still available, and people who can’t afford larger down payments might choose this option.

The FHA doesn’t directly make mortgage loans. Instead, certain lenders offer FHA loans that are backed by a government guarantee. Because of this guarantee, lenders will typically offer more flexible guidelines for mortgage approvals, including the size of the down payment.

In general, if you have a FICO credit score of 500 to 579, the minimum down payment required for FHA loans is 10%. If your credit score is 580 or above, the minimum down payment is 3.5%.

FHA loans require an annual mortgage insurance premium (MIP) and an upfront MIP of 1.75% of the base loan amount. You’ll typically pay the MIP for as long as you have the loan, unless you make a down payment of at least 10%. If that’s the case, your MIP will be canceled after 11 years.

How much is the MIP? A rate of 0.85% applies to borrowers who put down less than 5% on a 30-year FHA loan for $625,500 or less. You can estimate the upfront and ongoing MIP at FHA.com.

VA Loans

If you’re a military veteran, active service member, or in some cases, a surviving military spouse, you may qualify for a U.S Department of Veterans Affairs (VA) mortgage loan without a down payment. This program was created by the U.S. government in 1944 to help people returning from military service purchase homes.

Monthly mortgage insurance is not required, but a one-time funding fee is for some borrowers. For a first VA-backed purchase or construction loan, the fee is 2.3% of the total loan amount if you put less than 5% down. It’s 1.65% of the loan amount if you put 5% to 10% down.

Conventional Loans

Some private lenders provide conventional loans for homebuyers with less than 20% down. Almost always, in these cases, you’ll need to purchase private mortgage insurance (PMI) that insures the lender.

PMI adds a fee to the monthly mortgage payment. PMI can be an annual 0.5% to 2.25% of the total loan amount, with the premium amount depending on the type of mortgage you get, your down payment, your credit score and loan term. It also depends on the amount of PMI that’s required by your loan program or lender.

Borrowers usually choose to pay PMI monthly, and it is included in the monthly mortgage payment. Expect to pay about $30 to $70 per month for every $100,000 borrowed, Freddie Mac says. You can ask to get rid of PMI after you accumulate 20% equity and have a good payment record, there are no liens on the property, and the value has not declined. (PMI usually must end once you have 22% equity in your home, based on the original purchase price, if you’re current on payments.)

You may also be able to get rid of PMI if your home’s value rises enough to give you 25% equity and you’ve paid PMI for at least two years. This applies to borrower-paid mortgage insurance. You can’t cancel lender-paid mortgage insurance when your equity reaches 78% because it is built into the loan.

How Big Should Your Down Payment Be?

The average down payment falls below 20%, so if you can’t cough up 20%, you’re in good company.

In general, it makes sense to put down as much as you can comfortably afford. The more you put down, the less you’ll be borrowing, which translates into more equity in the house and lower monthly payments. Plus, with a lower mortgage amount, you’ll pay back less interest over the life of the loan. The more money you put down, the less you’ll be borrowing, which translates into lower monthly payments. 

On the other hand, it doesn’t always make sense to empty the bank in order to put down the largest down payment possible. That’s because you’ll likely have moving expenses, plus you’ll need to pay closing costs, which can vary by purchase price, state in which property is located, interest rate chosen, lender processing fees and more.

Furthermore, the home you’re moving into may need cosmetic repairs, or you may want to redecorate, add new landscaping and so forth. Plus, you’ll probably want to keep an emergency fund to pay for unexpected costs. If this doesn’t all seem doable, you may want to look for a more affordable house for now and save up for your dream house. Or if you can wait a while before buying, then you can create a savings plan to build up a down payment.

Saving for a House

For 58% of recent buyers, their down payment came from savings (a fortunate 10% of buyers used a gift from a friend or relative toward the down payment), according to a 2021 National Association of Realtors report. Saving can be difficult, to be sure. In the Realtors report, nearly half of respondents who said that saving for a down payment was difficult attributed the struggle to student loans, and 36% to credit card debt.

But if you are ready to be a homeowner, now is the time to get serious about saving.

Here are steps to consider taking:

  1. Track your spending, including fixed expenses (rent, utilities, car payments and so forth) and variable ones (like dining out, clothes shopping and hobbies). Add expenses that you pay annually or semiannually, breaking those down into monthly amounts.
  2. Make a budget that helps you to trim unnecessary expenses. Does it make sense to refinance student loans or consolidate credit card debt into a personal loan?
  3. Brainstorm ways to boost your income. Asking for a raise may be an option.
  4. Figure out what you can save each month, both for emergency expenses and for your house fund.
  5. Set a timetable for your plan.

The Takeaway

If you can manage a down payment but it’s south of 20%, know that you’re in good company. Finding a mortgage with less than 20% down is often doable, though fees usually come along for the ride.

Learn More:

This article
originally appeared on 
SoFi.com and was
syndicated by
MediaFeed.org.


SoFi Loan Products
SoFi loans are originated by SoFi Lending Corp. or an affiliate (dba SoFi), a lender licensed by the Department of Financial Protection and Innovation under the California Financing Law, license # 6054612; NMLS # 1121636. For additional product-specific legal and licensing information, see SoFi.com/legal.
SoFi Home Loans
Terms, conditions, and state restrictions apply. SoFi Home Loans are not available in all states. See SoFi.com/eligibility for more information.
Third Party Brand Mentions: No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third party trademarks referenced herein are property of their respective owners.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
SoFi Student Loan Refinance
IF YOU ARE LOOKING TO REFINANCE FEDERAL STUDENT LOANS PLEASE BE AWARE OF RECENT LEGISLATIVE CHANGES THAT HAVE SUSPENDED ALL FEDERAL STUDENT LOAN PAYMENTS AND WAIVED INTEREST CHARGES ON FEDERALLY HELD LOANS UNTIL THE END OF JANUARY 2022 DUE TO COVID-19. PLEASE CAREFULLY CONSIDER THESE CHANGES BEFORE REFINANCING FEDERALLY HELD LOANS WITH SOFI, SINCE IN DOING SO YOU WILL NO LONGER QUALIFY FOR THE FEDERAL LOAN PAYMENT SUSPENSION, INTEREST WAIVER, OR ANY OTHER CURRENT OR FUTURE BENEFITS APPLICABLE TO FEDERAL LOANS. CLICK HERE  FOR MORE INFORMATION.
Notice: SoFi refinance loans are private loans and do not have the same repayment options that the federal loan program offers such as Income-Driven Repayment plans, including Income-Contingent Repayment or PAYE. SoFi always recommends that you consult a qualified financial advisor to discuss what is best for your unique situation.

More from MediaFeed:

Top 50 safest cities in the US

Top 50 safest cities in the US

For many homebuyers, safety is a top concern when shopping for a house. It can influence where you feel comfortable living, and safety ratings can have a big effect on local housing market trends.

If you’re in the market to buy or rent a home and you’re looking for just the right spot, check out this list of the 50 safest cities from NeighborhoodScout, which looks at the property and violent crime in cities across the country. The safest cities in America tend to be suburban areas close to major cities like New York and Boston. Only one spot on this list is outside a major metropolitan area.

Massachusetts is home to the most cities on the list at 17, and when you factor in Connecticut towns, New England represents nearly 40% of the safest cities.

Residents of the cities that made the list (pop. 25,000 and over) tend to have a median household income over $100,000, though that isn’t the case in every town.

Here’s a countdown of the 50 safest cities in the U.S. that you could call home.

RelatedPrice-to-Rent Ratio in 50 Cities

imagindiana / iStock

Located in Ventura County in Southern California, Moorpark sits 50 miles northwest of downtown Los Angeles. The city was incorporated in 1983 and was named after the Moorpark apricot that grew throughout the valley. The city is a natural choice for raising a family, with nine schools and the lowest serious crime rate in the county.

  • Population: 36,375
  • Total Crime Rate (per 1,000 residents): 7.2
  • Chance of Being a Victim: 1 in 137
  • Major City Nearby: Oxnard

Ton Otter / iStock

This city in the western suburbs of Boston offers residents highly rated schools and lots of restaurants, coffee shops and parks. Perhaps unsurprisingly, many families choose to call Belmont home.

  • Population: 26,116
  • Total Crime Rate (per 1,000 residents): 7.2
  • Chance of Being a Victim: 1 in 138
  • Major City Nearby: Boston

legacyimagesphotography / iStock

Friendswood began as a Quaker town in 1895 and became known for growing and preserving Magnolia figs. Since the 1950s, it has transformed into a quiet bedroom community 30 minutes from Houston and Galveston.

  • Population: 40,290
  • Total Crime Rate (per 1,000 residents): 7.2
  • Chance of Being a Victim: 1 in 138
  • Major City Nearby: Houston

Nsaum75 / WIki Commons

Located on the shores of the Great Salt Lake, this farming community is rapidly transforming into a suburban outpost of Salt Lake City. The city offers easy access to Antelope Island State Park, home to bison, pronghorn antelope and other desert creatures.

  • Population: 31,458
  • Total Crime Rate (per 1,000 residents): 7.0
  • Chance of Being a Victim: 1 in 142
  • Major City Nearby: Ogden

(c) Salil Bhatt / iStock

This village on the outskirts of the Chicago metro area has put a lot of effort into making its vibrant downtown pedestrian-friendly to give residents easy access to restaurants, shopping and entertainment.

  • Population: 44,308
  • Total Crime Rate (per 1,000 residents): 6.9
  • Chance of Being a Victim: 1 in 143
  • Major City Nearby: Chicago

Leifrogers / Wiki Commons

One of three Connecticut towns to make the safest cities list, Wallingford began as a settlement along the Quinnipiac River in 1667. Since then, the city has grown to be home to more than 40,000 residents and has its own symphony orchestra, which performs throughout the year at the Paul Mellon Arts Center.

  • Population: 44,326
  • Total Crime Rate (per 1,000 residents): 6.9
  • Chance of Being a Victim: 1 in 143
  • Major City Nearby: New Haven

Nancysands1965 / Wiki Commons

This small city on Long Island Sound offers access to beaches, Sherwood Island State Park and a quaint downtown on the Saugatuck River.

  • Population: 28,491
  • Total Crime Rate (per 1,000 residents): 6.9
  • Chance of Being a Victim: 1 in 144
  • Major City Nearby: Bridgeport

Tyler Blodgett / iStock

Tucked against the mountains in Orange County, Rancho Santa Margarita offers a respite from the urban sprawl of much of the rest of Southern California. The city is master planned to balance the amenities of a small city with the natural landscape.

  • Population: 47,896
  • Total Crime Rate (per 1,000 residents): 6.9
  • Chance of Being a Victim: 1 in 144
  • Major City Nearby: Los Angeles

MattGush /iStock

Massachusetts makes a good showing on the safest cities list, representing nearly 30% of the burgs listed.

  • Population: 31,188
  • Total Crime Rate (per 1,000 residents): 6.8
  • Chance of Being a Victim: 1 in 145
  • Major City Nearby: Boston

ToddC4176 / Wiki Commons

This Detroit suburb features the 102-acre Avon Nature Study Area on the Clinton River and the Rochester Hills Museum, where visitors can learn about pioneer farmers, Native American history and local ecology. The city is considered the safest in Michigan.

  • Population: 74,516
  • Total Crime Rate (per 1,000 residents): 6.8
  • Chance of Being a Victim: 1 in 145
  • Major City Nearby: Detroit

BSPollard / iStock

Bridgewater lies south of Boston, northwest of Cape Cod, and east of Providence, Rhode Island.

  • Population: 27,619
  • Total Crime Rate (per 1,000 residents): 6.7
  • Chance of Being a Victim: 1 in 148
  • Major City Nearby: Boston

Kenneth C. Zirkel / Wiki Commons

Mason is the largest city in Warren County. The county is known as “Ohio’s Largest Playground” and boasts regional attractions including the Golf Center, the Great Wolf Lodge and Kings Island amusement park.

  • Population: 33,870
  • Total Crime Rate (per 1,000 residents): 6.7
  • Chance of Being a Victim: 1 in 148
  • Major City Nearby: Cincinnati

Nyttend / Wiki Commons

Nestled near the Connecticut border, the Westchester County city of Harrison is just a stone’s throw from New York City. The town is home to one of America’s richest ZIP codes, the neighborhood of Purchase, where the average income reaches beyond $800,000.

  • Population: 28,943
  • Total Crime Rate (per 1,000 residents): 6.6
  • Chance of Being a Victim: 1 in 150
  • Major City Nearby: New York

Jim.henderson/ Wiki Commons

The only Minnesota city to make the list, Rosemount offers residents access to the resources and culture of the Twin Cities while enjoying one of America’s safest towns.

  • Population: 25,207
  • Total Crime Rate (per 1,000 residents): 6.6
  • Chance of Being a Victim: 1 in 150
  • Major City Nearby: Minneapolis

Hourick / Wiki Commons

Just over the Boston line, Newton is a wealthy suburb where the median household income in 2019 was over $150,000, and 72% of the population consisted of homeowners.Newton is the largest city by population to make the top 50 list.

  • Population: 88,414
  • Total Crime Rate (per 1,000 residents): 6.6
  • Chance of Being a Victim: 1 in 151
  • Major City Nearby: Boston

Kenneth C. Zirkel / Wiki Commons

West of Newton, Wellesley is a much smaller municipality, though the median household income is higher, at over $197,000, and the homeownership rate tops 80%.

  • Population: 28,670
  • Total Crime Rate (per 1,000 residents): 6.5
  • Chance of Being a Victim: 1 in 151
  • Major City Nearby: Boston

Wellesley.edu

Located on the eastern shores of Lake Sammamish, the town offers a spread-out suburban feel with highly rated public schools and access to restaurants, coffee shops and parks.

  • Population: 65,892
  • Total Crime Rate (per 1,000 residents): 6.5
  • Chance of Being a Victim: 1 in 153
  • Major City Nearby: Seattle

dmitriko / iStock

Conveniently sandwiched between the Dallas and Fort Worth areas, Colleyville offers a rural feel close to big-city amenities.

  • Population: 27.091
  • Total Crime Rate (per 1,000 residents): 6.4
  • Chance of Being a Victim: 1 in 154
  • Major City Nearby: Dallas

Iheartdfw / Wiki Commons

The first of five New Jersey cities to make the top 50 list, Rahway is located just west of Staten Island. Median income is modest, nearing $79,000 per household.

  • Population: 29,895
  • Total Crime Rate (per 1,000 residents): 6.4
  • Chance of Being a Victim: 1 in 154
  • Major City Nearby: New York

Mojerzey / Wiki Commons

Beverly is a suburb of Boston on the North Shore of Massachusetts, just north of Salem. Like its witchy neighbor, Beverly offers historic New England architecture and water access.

  • Population: 42,174
  • Total Crime Rate (per 1,000 residents): 6.4
  • Chance of Being a Victim: 1 in 155
  • Major City Nearby: Boston

imagindiana / iStock

A village in Bergen County, Ridgewood is just northwest of New York City. The town is family friendly, with restaurants, coffee shops and parks.

  • Population: 25,056
  • Total Crime Rate (per 1,000 residents): 6.3
  • Chance of Being a Victim: 1 in 158
  • Major City Nearby: New York

J – Own work / Wiki Commons

Andover, about 23 miles north of Boston, was incorporated in 1646, and later became a thriving mill town. The city is home to prestigious college prep school Phillips Academy.

  • Population: 36,356
  • Total Crime Rate (per 1,000 residents): 6.1
  • Chance of Being a Victim: 1 in 162
  • Major City Nearby: Boston

ToddC4176 / Wiki Commons

The largest city in Medina County, Brunswick is about 25 miles southwest of Cleveland. The median household income is nearly $70,000, and about 76% of residents own their own homes.

  • Population: 34,880
  • Total Crime Rate (per 1,000 residents): 5.9
  • Chance of Being a Victim: 1 in 169
  • Major City Nearby: Cleveland

Brenda / Wiki Commons

Mark Twain used to make the 10-mile walk from his home in Hartford to Talcott Mountain in this historic burg, which counts itself among the safest in Connecticut. The town comprises just under 10,000 households with a median household income of about $124,000.

  • Population: 25,395
  • Total Crime Rate (per 1,000 residents): 5.8
  • Chance of Being a Victim: 1 in 170
  • Major City Nearby: Hartford

Sphilbrick / Wiki Commons

The only Florida town to make the list, Weston is also the second largest by population, after Newton, Massachusetts.

  • Population: 71,166
  • Total Crime Rate (per 1,000 residents): 5.8
  • Chance of Being a Victim: 1 in 170
  • Major City Nearby: Miami

Serenethos / iStock

With humble beginnings as a fur trading post in the 1830s, Caledonia has grown to a city of over 25,000.

  • Population: 25,277
  • Total Crime Rate (per 1,000 residents): 5.8
  • Chance of Being a Victim: 1 in 170
  • Major City Nearby: Racine

Royalbroil / Wiki Commons

Dracut was home to Pennacook Indian settlements before Europeans arrived in the 1650s, and the town’s early economy depended on manufacturing and milling. The town provides easy access to the Lowell and Boston metropolitan areas.

  • Population: 31,634
  • Total Crime Rate (per 1,000 residents): 5.6
  • Chance of Being a Victim: 1 in 178
  • Major City Nearby: Boston

John Phelan / Wiki Commons

This city northwest of Chicago has a mix of residential, commercial and light industrial space with award-winning schools. Palatine is the largest Illinois city to make the list.

  • Population: 67,482
  • Total Crime Rate (per 1,000 residents): 5.5
  • Chance of Being a Victim: 1 in 181
  • Major City Nearby: Chicago

Teemu008 / Wiki Commons

Built at the intersection of the Chicago and Pacific railways, the town of Bartlett was officially incorporated in 1891. The city experienced a boom in population starting in the 1950s and has since grown to include more than 40,000 residents.

  • Population: 40,647
  • Total Crime Rate (per 1,000 residents): 5.3
  • Chance of Being a Victim: 1 in 188
  • Major City Nearby: Chicago

Bartlett / Wiki Commons

Westfield has an award-winning downtown with more than 450 shops, restaurants and services.

  • Population: 29,512
  • Total Crime Rate (per 1,000 residents): 5
  • Chance of Being a Victim: 1 in 198
  • Major City Nearby: New York

wdstock / iStock

The only Kentucky town to make it on the list, Independence is a short drive across the Ohio River to Cincinnati.

  • Population: 28,521
  • Total Crime Rate (per 1,000 residents): 4.8
  • Chance of Being a Victim: 1 in 205
  • Major City Nearby: Cincinnati

W.marsh / Wiki Commons

Another Boston suburb just north of the city, Reading is a town of about 9,000 households with a median household income of nearly $132,000.

  • Population: 25,400
  • Total Crime Rate (per 1,000 residents): 4.8
  • Chance of Being a Victim: 1 in 206
  • Major City Nearby: Boston

John Phelan/ Wikimedia Commons

Like many of the Massachusetts cities on this list, Needham is a well-off bedroom community of Boston, with a median household income of about $165,000.

  • Population: 31,388
  • Total Crime Rate (per 1,000 residents): 4.7
  • Chance of Being a Victim: 1 in 212
  • Major City Nearby: Boston

Magicpiano / Wiki Commons

Cliffside has a commanding view of Manhattan from the top of the famed New Jersey palisades. Located between the Lincoln Tunnel and George Washington Bridge, the city allows commuters access to New York City.

  • Population: 28,133
  • Total Crime Rate (per 1,000 residents): 4.7
  • Chance of Being a Victim: 1 in 212
  • Major City Nearby: New York

Jim.henderson/ Wiki Commons

North Royalton sits just outside of Cleveland near the shores of Lake Erie. It was incorporated as a village in 1927 and became a city in 1961. The median household income is about $70,000 per year.

  • Population: 30,068
  • Total Crime Rate (per 1,000 residents): 4.6
  • Chance of Being a Victim: 1 in 214
  • Major City Nearby: Cleveland

J.C. Marciniak / iStock

Settled in 1635 as the town of Menotomy, Arlington was renamed in 1867 in honor of those buried at Arlington National Cemetery. The city is just six miles from Boston.

  • Population: 45,531
  • Total Crime Rate (per 1,000 residents): 4.5
  • Chance of Being a Victim: 1 in 217
  • Major City Nearby: Boston

DepositPhotos.com

Billerica sits on the Shawsheen and Concord rivers about 20 miles northwest of Boston, and is home to about 15,000 households.

  • Population: 43,367
  • Total Crime Rate (per 1,000 residents): 4.5
  • Chance of Being a Victim: 1 in 217
  • Major City Nearby: Boston

John Phelan / Wiki Commons

A bit farther from major metropolitan areas than many other cities on this list, Florence is 60 miles from Phoenix.

  • Population: 27,422
  • Total Crime Rate (per 1,000 residents): 4.3
  • Chance of Being a Victim: 1 in 230
  • Major City Nearby: Phoenix

Marine 69-71 / Wiki Commons

Once a sleepy rural community home to seasonal residents who enjoyed the area’s lakes, Lake in the Hills has become a quickly growing suburb of Chicago in the last few decades.

  • Population: 28,634
  • Total Crime Rate (per 1,000 residents): 4.3
  • Chance of Being a Victim: 1 in 230
  • Major City Nearby: Chicago

Locallllll / Wiki Commons

Rexburg, in eastern Idaho, is one of the only cities on this list that’s not near a major metropolitan area. Its proximity to nature is one of its calling cards. Yellowstone National Park is just 80 miles away.

  • Population: 29,400
  • Total Crime Rate (per 1,000 residents): 4.3
  • Chance of Being a Victim: 1 in 231
  • Major City Nearby: N/A

Bret-Barton / iStock

Marshfield is 30 miles from Boston on the South Shore where Cape Cod meets the Massachusetts Bay. The year-round population of about 25,000 grows to 40,000 in the summer months.

  • Population: 25,967
  • Total Crime Rate (per 1,000 residents): 4
  • Chance of Being a Victim: 1 in 249
  • Major City Nearby: Boston

ToddC4176 / Wiki Commons

Cleveland Magazine named this swiftly growing suburb one of the “Best Places to Live in the Cleveland Area.”

  • Population: 34,392
  • Total Crime Rate (per 1,000 residents):3.6
  • Chance of Being a Victim: 1 in 275
  • Major City Nearby: Cleveland

Nyttend / Wikimedia Commons

This cozy city sits within the orbit of Milwaukee and within the greater Chicago area.

  • Population: 25,127
  • Total Crime Rate (per 1,000 residents):3.5
  • Chance of Being a Victim: 1 in 279
  • Major City Nearby: Milwaukee

Wiki Commons

The Borough of Bergenfield, which sits across the Hudson River from Yonkers, was first settled by the Dutch. The postwar period brought a boom, with the population reaching its peak in the 1970s.

  • Population: 27,327
  • Total Crime Rate (per 1,000 residents):3.4
  • Chance of Being a Victim: 1 in 296
  • Major City Nearby: New York

JERRYE / Wiki Commons

Shrewsbury was incorporated in 1727 and rests just outside the Boston metropolitan area near the city of Worcester.

  • Population: 38,526
  • Total Crime Rate (per 1,000 residents): 3.3
  • Chance of Being a Victim: 1 in 296
  • Major City Nearby: Worcester

John Phelan / Wiki Commons

Known as the town where the first shots of the Revolutionary War were fired, Lexington is a suburb of Boston where the median household income tops $186,000.

  • Population: 33,132
  • Total Crime Rate (per 1,000 residents): 3
  • Chance of Being a Victim: 1 in 331
  • Major City Nearby: Boston

John Phelan / Wiki Commons

Excellent schools and stable home values attract residents looking for a small-town feel just 20 minutes outside Indianapolis.

  • Population: 28,357
  • Total Crime Rate (per 1,000 residents): 2.8
  • Chance of Being a Victim: 1 in 345
  • Major City Nearby: Indianapolis

Huw Williams / Wiki Commons

In Milton, a suburb 10 miles south of Boston, the median household income is over $133,000 a year.

  • Population: 27,593
  • Total Crime Rate (per 1,000 residents): 2.7
  • Chance of Being a Victim: 1 in 367
  • Major City Nearby: Boston

lawrencetfay / iStock

Long Beach is in Nassau County, east of New York City. This beachside community is a popular tourist destination during the summer.

  • Population: 33,454
  • Total Crime Rate (per 1,000 residents): 2.5
  • Chance of Being a Victim: 1 in 389
  • Major City Nearby: New York

Adam Mordetsky / iStock

Franklin is the safest city in America, so it seems. It’s conveniently located between Boston and Providence, Rhode Island. About 80% of residents own their own homes, and the median household income is more than $122,000. The town is named in honor of Benjamin Franklin, whose donated books formed the first public library in the country.

  • Population: 34,087
  • Total Crime Rate (per 1,000 residents): 1.9
  • Chance of Being a Victim: 1 in 524
  • Major City Nearby: Boston

John Phelan / Wiki Commons

It’s a safe bet that house hunters will find many of these 50 safest cities in the U.S. appealing. If you’re looking for a comfortable landing spot and a home, it’s time to secure a mortgage.

Learn More:

This article
originally appeared on 
SoFi.comand was
syndicated by
MediaFeed.org.


SoFi Home Loans
Terms, conditions, and state restrictions apply. SoFi Home Loans are not available in all states. See SoFi.com/eligibility for more information.
SoFi Loan Products
SoFi loans are originated by SoFi Lending Corp. or an affiliate (dba SoFi), a lender licensed by the Department of Financial Protection and Innovation under the California Financing Law, license # 6054612; NMLS # 1121636. For additional product-specific legal and licensing information, see SoFi.com/legal.
External Websites: The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

Rolf_52

Featured Image Credit: DepositPhotos.com.

AlertMe