How much do first-time homebuyers actually put down, and where does the money come from?

Answer: 10%

This matches the highest level recorded since 1989.

Questions:

• Would you rather buy a home sooner with a smaller down payment, or wait longer and save more for a higher down payment?
• What would you be willing to cut from your spending to save for a down payment faster?
• In what cases do you think renting is a wiser choice than buying a home?

Click here for the ready-to-go slides for this Question of the Day that you can use in your classroom.

Behind the Numbers: (National Association of Realtors)

NAR surveyed 6,103 people who bought a primary residence between July 2024 and June 2025. First-time buyers put down a median of 10%, while repeat buyers put down 23%. First-time buyers got that money mostly from personal savings (59%), financial assets such as a 401(k), stocks, or cryptocurrency (26%), and gifts or loans from family and friends (22%).

About the Author

Yonathan Tadesse

Yonathan is a Dallas-based Curriculum Designer at NGPF with 12 years of experience as a high school math, college transition, and financial literacy teacher. An award-winning educator, he has a track record of launching innovative programs at the high school level that expand access and opportunity for students. He is a graduate of Emory University and is passionate about advancing financial education for all students. Outside of work, Yonathan loves spending time with his wife and two kids, working out, playing chess and poker, and learning new things.

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