3 Big Down Payment Myths That Could Be Holding You Back

Buying a home is exciting… until you start thinking about the down payment. That’s when the worry can creep in:

“I’ll never save enough.”

“I need a small fortune just to get started.”

“I guess I’ll just rent forever.”

Sound familiar? You’re not alone; and here’s the good news: a lot of what you’ve heard about down payments just isn’t true. Once you know the facts, you may realize you’re a lot closer to owning a home than you think. Let’s break down three of the biggest down payment myths.

Myth 1: “I need a big down payment.”

This one stops a lot of people in their tracks. A poll from Morning Consult and NeighborWorks found that:

• 70% of Americans think they need at least 10% down.

• 11% aren’t even sure what’s required at all.

The truth: According to the National Association of Realtors (NAR), the typical down payment for first-time buyers has been between 6% and 9% since 2018. And there are even more flexible options out there:

• FHA loans: as low as 3.5% down

• VA loans: 0% down for qualified veterans and service members

• USDA loans: 0% down in certain rural areas

That’s a far cry from the 20% you may have heard about.

Myth 2: “It’ll take forever to save up.”

Yes, saving for a home takes planning—but it may not take as long as you think. How quickly you’ll reach your goal depends on where you live, home prices in your area, and how much you actually need to put down. Here’s the key: in most cases, you don’t need to save for a full 10% or 20%. And whatever amount you do need doesn’t have to come entirely from your own savings. That brings me to myth #3.

Myth 3: “I have to do it all on my own.”

This is one of the biggest misconceptions out there. In reality, there are thousands of down payment assistance programs designed to help buyers like you. Yet, according to that same NeighborWorks poll, 39% of people don’t even know these programs exist.

That means many potential homebuyers are already closer to their first home than they realize—they just need a little guidance.

As Miki Adams, President of CBC Mortgage Agency, explains:

“With high interest rates and soaring home prices, down payment assistance is more essential than ever.” If you’ve been putting off buying a home because the down payment feels overwhelming, it’s time to take another look. Chances are, you don’t need as much as you thought—and you don’t have to figure it out alone.

Hey Inland Empire, I’m Candice Newman! I’ve had the incredible fortune of being born and raised in this amazing community, and I couldn’t imagine living anywhere else. I currently live in Alta Loma with my husband, Jonathan, our son, Trevor, and our dog, Ruger! I’m a real estate agent with a passion for finding new places to explore in the Foothill Communities. When I'm not selling homes, you can find me cheering my son on at his baseball games, exercising, spending time in our local mountains, heading to the lake, cooking, or watching the Dodgers slay the Giants (I was born and raised an Angels fan, but the Dodgers have taken over the household!). I'll never have enough Mexican food and Italian food in my life. I’m looking forward to connecting with you soon! See you around town! Candice.Newman.Realty@gmail.com | (909) 367-3280 DRE: 01924842