What Is The Average Down Payment On A House?

*As of July 6, 2020, Rocket Mortgage® is no longer accepting USDA loan applications.

One of your top priorities when buying a house is probably having enough cash on hand to make a down payment. You may wonder how much you need to save for a down payment or if buying a home without one is possible.

We’ll look at the typical down payment requirement for different loan types and discuss the average amount that buyers pay upfront so you’ll have an idea of what to expect on your journey to homeownership.

How Much Is The Average House Down Payment?

The typical down payment on a house for a first-time buyer is about 8% of the home price, while repeat buyers typically put down 19% of the purchase price, according to data available from the National Association of REALTORS® in late 2023.

Of course, your down payment on a house may not be the average down payment on a house. Down payment amounts vary drastically depending on the home price, your loan type and the state of the housing market.

Median Down Payment By State

Experts typically use medians rather than averages for statistics about down payments. That’s because taking the median prevents very high and very low down payments from skewing the results.

The median down payment differs significantly by state. According to Rocket Homes^SM, the states with the highest median down payments are Hawaii and California. In these states, the median is above $100,000. Washington state, Colorado and Massachusetts also have very high medians, all coming in above $90,000. On the lower end, Iowa, Ohio and Michigan have medians around $35,000. 

How Much Should You Put Down On A House?

Minimum down payment requirements differ with the type of loan you choose. Here are the major loan programs and the down payment requirement for each.

Conventional Loan

Conventional loans are most often but not always conforming loans, and they’re considered the most common mortgage option. The minimum down payment for a conventional mortgage loan is 3% of the purchase price if you’re a first-time home buyer, and it’s 5% for repeat buyers. However, your lender might require that you put more down if you have a credit score lower than 620 and are still approved (620 is typically the minimum credit score for conventional loan approval).

Conventional loans with a down payment of less than 20% will require you to pay private mortgage insurance (PMI).

VA Loan

A Department of Veterans Affairs (VA) loan is a government-backed loan available to eligible current and former members of the Armed Forces and the National Guard, along with surviving spouses who meet certain eligibility criteria. You can buy a home with no money down if you qualify for a VA loan.

USDA Loan

A U.S. Department of Agriculture (USDA) loan is a government-backed loan you can use to buy a home in a qualified rural or suburban area. Like a VA loan, a USDA loan allows you to purchase a house with no money down.

Reminder that Rocket Mortgage® doesn’t offer USDA loans at this time.

FHA Loan

A Federal Housing Administration (FHA) loan is a government-backed loan with, at least broadly-speaking, more relaxed requirements than a conventional loan. You can get loan approved by some lenders with a credit score as low as 500, but you’ll need a credit score of 580 or higher to put down only 3.5% at closing. With a credit score in the 500 – 579 range, you’ll need a down payment of 10%.

Down Payment Amount By Purchase Price: At A Glance

Here are some common down payment percentages – and the dollar amount they translate to – based on different purchase prices.