Down Payment on Homes Jump Nearly 25 Percent in One Year to Almost $56,000

According to real estate brokerage Redfin, homebuyers ‘ down payments have increased by almost 25 % over the past year, with buyers attempting to put as much of a down payment as possible to lower their monthly mortgage payments.
” The median down payment for U. S. owners was$ 55, 640 in February”, according to a March 29 press release by Redfin. ” That’s up 24.1 percent from$ 44, 850 a year earlier —the largest annual increase in percentage terms since April 2022. The typical homebuyer’s down payment last month]February ] was equal to 15 percent of the purchase price, up from 10 percent a year earlier”.
House prices increased 6.6 percentage year over year in February, according to Redfin, which is one of the reasons down payments have increased. Elevated accommodation costs, from high loan rates and high house prices, are incentivizing potential clients to commit to bigger down payment, it said….

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