Apr 1, 2025 - Real Estate
Miami homebuyers spend big on down payments
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The median home down payment in Miami was $86,125 in December, or 20% of the purchase price, up 1.6% from a year earlier, Redfin data shows.
Why it matters: Homebuyers are shelling out more money up front to avoid high monthly payments as mortgage rates hover near 7%.
The big picture: The median U.S. down payment ticked up to roughly 16% of the purchase price from 15% a year ago, according to a Redfin report.
- The dollar amount climbed around $4,000 to over $63,000 — mainly due to rising home prices.
Between the lines: Buyers who put at least 20% down can avoid the added cost of private mortgage insurance, though some experts say PMI is becoming cheaper.
What we're watching: Many young people are using family cash for down payments.
- Meanwhile, one in five aspiring homeowners say they may never save up enough, per a recent Bankrate survey.