A down payment on a home is a crucial part of the financial hurdle that homebuyers need to pass before they can think of closing, but in the current market, how long of a wait is that? According to the latest report from Realtor.com®, the current average for saving for a down payment on a median-priced home in the U.S. is seven years for a median-income household.
The report, authored by Realtor.com Senior Economic Analyst Hannah Jones, cross-references data on median down payments, median household incomes and typical monthly saving rates to calculate how long saving for a down payment takes across U.S. metro areas. The report found that the down payment “remains one of the biggest barriers to homeownership.”
“In high-cost markets, the typical down payment alone exceeds a full year of household income. That reality makes homeownership feel unattainable for many buyers, particularly younger households trying to enter the market for the first time,” said Jones in a statement.
On one hand, the seven-year average is a substantial improvement from the 12-year average it took to save for a median down payment in 2022, when prices rose as consumer saving rates went down. However, seven years is also almost twice as long as the average it took to save for a down payment pre-pandemic, a result of both lower rates of saving—in a statement, Realtor.com Chief Economist Danielle Hale attributed lower saving to inflation and rising household expenses—as well as higher down payments.
In Q3 of 2019, a down payment for a typical buyer was $13,900, whereas in Q3 of 2025, a typical down payment was $30,400. In 2025, the annual personal savings rate averaged 5.1%, down from the pre-pandemic figure of 6.5%. The report described these higher prices and longer waiting times as a “new normal” for the post-pandemic market. For a more optimistic view, Realtor.com also pointed to a survey it conducted at the beginning of the year where about two-thirds of respondents said they still have a goal of owning a home.
“Saving consistently, even in small amounts, is a meaningful first step toward homeownership,” Jones said, with evidence of easing rents being noted in the report as a possible opening for saving rates to pick up. “In today’s market, building that financial cushion can make a real difference when buyers are ready to act.”
Regional breakdown
Within the seven-year average saving time, there are also some clear regional differences of time to save for a median down payment. Generally speaking, Realtor.com found that high-cost coastal metro areas (New York, Boston, several California cities) take the longest amount of time for residents to save for a down payment, while “affordable” Southern state metro areas take the least. Military-heavy regions, where buyers often use Veterans Affairs (VA) loans to buy, also show a shorter amount of time to save for a down payment.
In the metro areas where a median-income household would spend the longest time saving for a median down payment, the wait to save is several decades long. As the report noted, this effectively prices out low- to moderate-income buyers, many of whom are first-time buyers. The specific metro areas with the longest saving times in 2025 were:
- San Francisco, California, metro area: 36.5 years, with a median household income of $132,568 and a median down payment of $245,466.
- San Jose, California, metro area: 36.2 years, with a median household income of $166,033 and a median down payment of $304,623.
- Los Angeles, California, metro area: 34.1 years, with a median household income of $98,329 and a median down payment of $170,035.
- San Diego, California, metro area: 30.1 years, with a median household income of $110,114 and a median down payment of $167,814.
- New York City, New York, metro area: 23.4 years, with a median household income of $102,807 and a median down payment of $121,796.
“In these metros, the typical down payment would more than consume the typical household’s entire annual salary,” the report noted. Meanwhile, the metro areas with the lowest average saving times in 2025 included:
- San Antonio, Texas, metro area: 1.3 years, with a median household income of $77,385 and a median down payment of $5,067.
- Norfolk, Virginia, metro area: 2 years, with a median household income of $84,890 and a median down payment of $8,394
- Memphis, Tennessee, metro area: 2.5 years, with a median household income of $67,785 and a median down payment of $8,563.
- Houston, Texas, metro area: 3.5 years, with a median household income of $83,452 and a median down payment of $14,927.
- Birmingham, Alabama, metro area: 4.2 years, with a median household income of $73,644 and a median down payment of $15,563.
“Put differently, potential buyers in these markets tend to earn enough money that homeownership is within reach,” the report explained.” These metros often have more available inventory at lower price points, meaning buyers are not competing as intensely for the limited supply.”
For the full report, click here.
