According to the National Association of REALTORS® (NAR) recent report on the Profile of Home Buyers and Sellers (HBS), 11% of all buyers cited that saving for a down payment was the most difficult step in the home-buying process. But as Anat Nusinovich, an economist for the National Association of REALTORS®, stated, homebuyers are overcoming this obstacle and the median down payment in the U.S. has increased over the last year.
Since saving for a down payment can delay homeownership for many first-time home buyers, the data points in the HBS report show older home buyers were able to put down a larger share of the property’s value as an initial investment:
In 2024, the highest down payment share was put down by home buyers 65 years old or older. This age group put down a median of 22.1% of the property’s value when purchasing a home, or equivalently, $84,128.
Right below them were home buyers 45-64 years old who put down almost 17% or $68,849 as a down payment.
In contrast, buyers aged 25-34 put down approximately 5% (or $17,684), and buyers aged 35-44 put down 11.7% (or $50,444).
The smallest group, buyers below the age of 25, put down only 3.2%, equivalent to $8,028.
In comparison, the typical American borrower in 2024 provided a 10.8% down payment (or $41,214) when purchasing a home.
According to NAR’s HBS, the median home buyer age increased to a peak of 56 years old in 2024. That year, the average age of all buyers, both first-time and repeat, reached an all-time high.
Lauren Bunting is a Broker with Keller Williams Realty of Delmarva in Ocean City, Maryland.
