down payment

American  

Or down-payment

noun

1. an initial amount paid at the time of purchase, in installment buying, time sales, etc.

2. any initial or partial payment, gift, favor, or recompense, as to reduce one's indebtedness or express one's obligation or gratitude.

   This gift is just a down payment for all the favors I owe you.

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down payment British  

noun

1. the deposit paid on an item purchased on hire-purchase, mortgage, etc

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down payment Cultural  

1. A payment in part made at the time of purchase of a good, with the promise to make full payment later.

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Etymology

Origin of down payment

First recorded in 1925–30

Example Sentences

I took money out of my IRA for the down payment on my first home.

From MarketWatch

“Buyers are concerned about high home prices and mortgage rates, with down payments particularly challenging given elevated price to income ratios.”

From Barron's

She compared it to a pandemic-era temporary policy that allowed people to access funds from their retirement accounts for down payments with fewer penalties.

From BBC

The figure assumes that the buyer is making a down payment of about 10% of the home’s sale price.

From MarketWatch

I used my own funds for the down payment and paid all the mortgage payments, as well as all the home’s expenses.

From MarketWatch

Related Words

• deposit