Bigger Down Payments Continue in Q4 2024 as Homeowners Use Pandemic Era Savings and Increased Home Equity [Yahoo! Finance]
News Corporation - Class B (NWS)
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Source: Yahoo! Finance
AUSTIN, Texas March 27, 2025 /PRNewswire/ -- The typical down payment in the fourth quarter was , according to a new report from Realtor.com ® , ever-so-slightly below the third quarter's level but roughly higher than one year prior. Last year saw the highest down payments in the data's history, both as a dollar amount and as a share of purchase price. Down payments were 3.4 percentage points higher than pre-pandemic (2019 Q4) in the fourth quarter of 2024, emphasizing the trend towards bigger down payments. "As inventory recovers, the housing market is very slowly tilting toward more balance between buyers and sellers. But down payments are still high—hitting an annual record in 2024," said Danielle Hale , Chief Economist, Realtor.com ® . "Today's home sales are skewed toward higher-end homes, and this means larger down payments from more financially prepared, high-earning buyers as entry-level and lower-earning buyers sit out. Additionally, higher mortgage rates give homebuyers g
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