More Buyers Make Higher Down Payments
Down payments ticked up in the second quarter of 2015, as indicated by another report from LendingTree.
The average down payment percentage on a 30-year fixed rate home loan increased to 17.34 percent in the second quarter. The previous quarter down payments averaged 16.98 percent.
In dollars, the average down payment in the second quarter was $44,204.
"The spring and summer home buying season naturally creates more demand in the housing market," says Doug Lebda, founder and CEO of LendingTree. " "With a more competitive housing market, it is common to see down payments rise. In any case, we likewise saw volume for FHA [Federal Housing Administration] loans increase a little over five percent quarter over quarter, signaling more first time home buyers entering the market. For potential buyers who have been sitting on the fence, it's still a good time to explore the housing market as interest rates remain historically low."
The average down payment on a FHA was 7.86 percent or $13,350 in the second quarter. The average down payment on a jumbo mortgage, on the other hand, was 23.61 percent or $215,909.
The following 10 states had the highest average down payments for a 30-year fixed-rate conventional loan, according to Lending Tree:
3.New Hampshire: 18.16%
7.New York: 19.97%
9.New Jersey: 20.14%
10.Washington, D.C.: 21.03%