<prompt> Human: Hi everyone,My fiance and I are in the market to purchase a home. Ideally, I would like to put 20 down on a conventional loan, but living in my area of New Jersey is not cheap. We have approx 60K saved and stable jobs making 125K annually together. Of course no one knows for sure, but it seems like the housing market is rising steadily and mortgages rates will rise over time. From that standpoint, I am starting to wonder if it is worth it to get a nicer home by putting somewhere around 15 down while rates are low and values are climbing. I dont know enough about FHAPMI though. That 5 difference jumps our budget from 300K to 400K. We havent been able to find much for 300K, but it seems like the 350K-400K range really makes a big difference. Any advice is greatly appreciated.Edit: Thank you all. You have been very helpful!  <response>: Im in NY Long Island and went against conventional wisdom and went with a 10 downpayment with PMI when I bought last year. Its only 60 month on my 250k Co-op apartment and it wouldve taken me years to get up to 20 since rent is ridiculously high here. The PMI also goes away after 6 years so in total Ill have paid 4320 in PMI 720year 6. I dont get why people make a big deal about it honestly. Also since then interest rates have risen and similar units are now selling for 260k. Obviously you cant predict the market but I think its more important to get a house you want to live in for a long time than get a cheaper house youll want to get out of in a few years just to avoid PMI. Closing costs and realtor fees are WAY more expensive. 