BAM Key Details:
- Realtor.com’s Q2 Down Payment Report puts the median down payment at $27,100, down 9.2% year over year and the lowest second-quarter level since 2021, with an average down payment of 13.7% of the purchase price.
- The estimated monthly principal-and-interest payment hit $2,376 in August, 74% higher than in August 2021, as the 30-year fixed rate climbed from 2.88% to 6.76%.
- Compared with 2021 habits, bigger down payments save Hartford buyers $269 a month, and smaller ones add $82 a month in Austin.
Buyers put down a median of $27,100 in the second quarter of 2026. According to Realtor.com’s latest Down Payment Report, it’s the lowest second-quarter figure since 2021.
The median fell 9.2% from the second quarter of 2025. As a share of the purchase price, the average down payment dropped 0.6 percentage points.
For buyers, the bigger question is what happens to the monthly payment. Mortgage rates have more say over that number than the down payment does. The report breaks down where down payments stand and how they’re affecting monthly costs in different parts of the country.
Down Payments Increased This Spring But Stayed Below 2025
Down payments tend to climb from winter into spring, and this year’s jump was bigger than normal. Realtor.com’s figures show how this spring compares with the winter and with past years:
- First quarter 2026: $25,000, or 12.9% of the purchase price
- Second quarter 2026: median of $27,100, average of 13.7%
- Second quarter 2025: median of $29,900, average of 14.3%
- Second quarter 2021: median of $22,300, average of 12.6%
- Second quarter 2019: median of $14,000, average of 11.2%
The rebound carried into the summer. In July, the typical down payment reached $28,800, or 14.0% of the purchase price, which was its high point for the year. It was 7.5% below year-ago levels in dollars and 0.5 percentage points lower as a share of price.
Realtor.com senior economist Dr. Hannah Jones said the spring bounce fell short of 2025 levels:
“Down payments rose sharply from the winter into spring, as they typically do seasonally, yet the rebound still left them below year-ago levels. Buyers have gained some negotiating room, while higher mortgage rates remain the biggest factor shaping monthly affordability.”
Rising inventory is part of the reason buyers are putting down less. Realtor.com’s August housing data points to a market that’s giving buyers more breathing room:
- Active listings rose 3.6% year over year
- Median list prices fell 1.3%, the 10th month in a row of easing
With more homes to pick from and more time to decide, buyers are feeling less pressure to win a deal with a big down payment.
That said, higher rates have kept rate-sensitive households on the sidelines.
The Northeast Still Leads on Down Payments
In all four regions, buyers put down a smaller share of the purchase price than they did in the second quarter of 2025.
Here are the average down payment shares by region for the second quarter of 2026:
- Northeast: 18.1%
- West: 15.2%
- Midwest: 14.2%
- South: 11.9%
The Northeast has the highest median down payment of any region. It’s grown 238.7% since the second quarter of 2019, far ahead of the Midwest’s 141.0% increase, which was the next largest. Realtor.com ties it to higher home prices and persistent competition in the Northeast.
The South and West have seen more inventory come back and softer prices, which gives buyers more room to negotiate.
Realtor.com’s Market Clock found 70% of the nation’s largest markets either favored buyers or were moving in a buyer-friendly direction in the second quarter.
Mortgage Rates Drive the Monthly Payment
The down payment is just one piece of affordability. The rate on the rest of the loan has a bigger effect on what buyers pay each month.
Realtor.com’s estimates of the monthly principal-and-interest payment show what higher rates have done to monthly costs:
- August 2021: $1,364 at a 2.88% rate
- August 2025: $2,296 at 6.35%
- August 2026: $2,376 at 6.76%
- At a 7% rate: $2,434
The daily average 30-year fixed mortgage rate hit 7.26% on Thursday, September 23, more than a quarter percentage point above that “hypothetical” 7%.
The estimated payment for August was up 74% from the same time of the year five years ago. It’s $80 higher than last year, a 3.5% increase, and a 7% rate would add another $58.
If the difference between payments for the 6.76% and the 7% is at $58, let’s guestimate the same difference between the 7% and the 7.26%, putting today’s monthly payment on a typical home purchase at $2,492.
The typical down payment share is 1.4 percentage points higher than it was in August 2021. Compared with 2021 down payment habits, that saves buyers around $39 a month.
Next to the jump from higher rates, $39 a month is a small offset.
Keep in mind, too, that these estimates cover principal and interest. They leave out taxes, insurance, mortgage insurance, HOA fees and other monthly costs of homeownership.
Down Payments Cushion Costs in Some Metros and Raise Them in Others
The national down payment share is higher than it was in 2021. At the metro level, the numbers split into two groups.
In high-cost, competitive metros, buyers are putting more down, and it’s lowering their monthly payments compared with 2021 habits.
Each line below tracks changes from August 2021 to August 2026. The last figure shows how much less buyers pay each month because they’re putting down a bigger share than buyers did in 2021.
- Hartford, CT: 11.4% to 20.4% down, list price +36%, monthly payment +91%, saving $269 a month
- Boston, MA-NH: 16.8% to 21.7% down, list price +22%, monthly payment +80%, saving $253 a month
- New York, NY-NJ-PA: 16.4% to 21.5% down, list price +20%, monthly payment +77%, saving $248 a month
- Seattle, WA: 15.6% to 19.8% down, list price +11%, monthly payment +65%, saving $205 a month
Buyers in softer markets are going the other way. Prices have cooled and competition has eased, so buyers are putting less down, which adds to the cost of higher rates.
In these metros, the last figure shows how much more buyers pay each month because they’re putting down a smaller share than buyers did in 2021:
- Austin, TX: 16.7% to 13.9% down, list price -18%, monthly payment +33%, adding $82 a month
- Tucson, AZ: 12.7% to 10.2% down, list price +4%, monthly payment +68%, adding $61 a month
- Dallas, TX: 13.7% to 11.7% down, list price +7%, monthly payment +70%, adding $55 a month
- Phoenix, AZ: 14.5% to 12.8% down, list price 0%, monthly payment +59%, adding $52 a month
- San Antonio, TX: 9.2% to 6.9% down, list price -4%, monthly payment +55%, adding $48 a month
- Houston, TX: 12.1% to 10.5% down, list price -1%, monthly payment +58%, adding $37 a month
Austin is the clearest example. Home prices have fallen more in Austin than in any other metro on the list, and the monthly payment has kept climbing. Higher rates have more than wiped out the price relief, and smaller down payments are adding to the bill.
Dr. Jones said buyers in pricier markets and softer ones are handling down payments in different ways.
“In expensive markets, buyers with more equity are using larger down payments to reduce monthly costs; in softer markets, smaller down payments are adding to the cost of higher rates. For many households, the monthly payment, rather than just the cash needed upfront, will determine how much home they can afford.”
The Play for Agents
Some buyers still believe they need 20% down to buy a home. Realtor.com’s numbers can help agents correct that idea without pushing anyone toward a purchase.
These figures from the report are a good place to start:
- The average down payment in the second quarter of 2026 was 13.7% of the purchase price, with a median of $27,100
- Buyers in the South put down an average of 11.9% in the second quarter
- San Antonio buyers put down 6.9% in August
- Down payment shares topped 20% in high-cost metros like Hartford and Boston
The goal is to give buyers the full picture of what it costs to get into a home. Pair the down payment number with a monthly payment estimate, since the rate will shape that payment more than the size of the down payment will.
Remind buyers that estimates like Realtor.com’s cover principal and interest. Their full monthly bill will include property taxes and insurance on top of that.
Agents can use this script, sourced from the BAMx Script Advisor, to start the conversation with buyers:
“Hey [Name], saw some new data drop on down payments and wanted to pass it along since it’s relevant to where you’re at. Nationally, the average buyer put down 13.7% last quarter, about $27,100. The down payment can change the monthly payment picture pretty significantly depending on where you land. Can I walk you through two or three scenarios so you’re not guessing when the right home shows up?”
The Script Advisor is built on the live weekly BAMx roleplay masterminds with hosts Byron Lazine, Lisa Chinatti, and Tom Toole, and updated every week. Sign up to get full access.
We’ll leave you with this final quote from Dr. Jones, who expects mortgage rates to keep driving buyer decisions in the months ahead.
“Mortgage rates will remain the biggest swing factor for buyers. If rates continue to rise, down payments and estimated monthly payments are likely to remain elevated as more marginal buyers stay on the sidelines. A sustained decline would do more to improve affordability and bring buyers back into the market, helping keep homeownership within reach for more households.”
For agents, it comes down to helping buyers understand the cash they’ll need upfront alongside what they’ll pay each month, so they can decide when the timing works for them.
