What’s the minimum down payment to finance a property?
In short: The standard minimum down payment for SFH financing (through Caixa) is 20% of the property’s value — the bank finances up to 80%. For Minha Casa Minha Vida properties (Brackets 1 and 2), the down payment can be much lower thanks to the subsidy. FGTS can supplement or even cover the entire down payment, depending on your balance.
Minimum down payment by financing type
- Standard SFH (Caixa): 20% down — the bank finances up to 80%
- MCMV Bracket 1 (income up to R$3,200): the subsidy can cover a large share — the down payment can be minimal or zero when combined with FGTS
- MCMV Brackets 2 and 3: partial subsidy — a reduced but still-required down payment
- SFI (properties above R$2,250,000): minimum down payment typically 20–30%, depending on the bank’s policy
What counts toward the down payment
- Personal funds (cash, savings, investments)
- FGTS: can be used for part or all of the down payment, if the buyer meets the requirements (at least 3 years of contributions, no property in the city where they work or live)
- MCMV subsidy: the federal government can cover part of the value — applied directly in the bank transaction
- Combination: FGTS plus personal funds plus subsidy is the most common arrangement for first-time buyers
Beyond the down payment: transaction costs
The down payment isn’t the only upfront cost. Before closing, also budget for:
- Property transfer tax (ITBI): ~2% of the property’s value — paid by the buyer before the deed
- Deed and registration: ~1–2% of value — varies by notary office (cartório) and state
- Bank appraisal: charged by the bank, generally between R$800 and R$2,000
- Homeowner’s insurance: mandatory on financed properties — the monthly premium is included in your payments
Total cost outside financing: plan for ~23–25% of the property’s value (20% down payment plus 3–4% transaction costs).
Can I finance the down payment?
No — the down payment cannot be financed by the same bank or through a personal loan tied to the mortgage. The bank requires proof of the source of the down payment funds. Using FGTS is allowed and documented.
Practical example from Florianópolis
A R$480,000 property in Trindade. Buyer qualifies for MCMV Bracket 3 (income of R$8,500). Available FGTS balance: R$45,000.
- Required down payment: R$96,000 (20%)
- FGTS covers: R$45,000
- Personal funds needed: R$51,000
- ITBI plus deed and registration: ~R$15,000 additional
- Total to raise: ~R$66,000 in personal funds
Related questions
- How does mortgage financing work?
- Can I use my FGTS balance toward mortgage financing?
- Minha Casa Minha Vida 2026: income brackets and how it works
- SAC or Price: which amortization system should I choose?
Want to know how much you can finance based on your income? Talk to Regente.