Down Payment

When considering a home most first time home buyers think they need 20% down.  That is not always true!  Good news, Not all buyers put anywhere near 20% down payment!

A real estate expert mentioned that most millennials say they are interested in buying a home over the next 12 months.  The study notes over 80 percent have significantly less savings than the average national down payment of around $60,000.

With the right real estate professional and mortgage lender this number can be significantly less.  Between writing the offer with seller picking up costs, VA loans, FHA loans, First Time Buyer Loans, Down Payment assistance loan.  And the current low inventory situation.  It is possible to get a home with significantly less than 62k down.

NAR believes the median Existing-home price is around $310,600.  They also believe the median down payment for most first time buyers was around 6%. 16% for repeat buyers (rolling equity into the loan) and 12 percent for all buyers averaged out.

 

Down Payment Chart

That means if a qualified first-time buyer purchases a home at today’s median price, $310,600, with a 6% down payment, in reality, the down payment only amounts to $18,636. That’s nowhere near $62,600. And when homes are significantly more available using FHA 3.5% down payments loans are fantastic!  Your looking at a down of closer to $10,871.  

 

Down Payment Savings Chart

Requirements are not as difficult and complicated as it seems.  We work with a multiple lenders that specialize in certain programs that really helps.  We have lenders that specialize in Mobile Homes, Hard Money, Traditional, Down Payment assistance, bad credit, good credit.  We would love to help!

Don't count your self out!!!  We can get you going in the right direction even if you are in the planning stages.  

 

 

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