Patience may be a key word for a potential homebuyer who is saving for a down payment on a house. Seven years’ worth of patience, that is.
According to a report by Realtor.com economists, a typical U.S. homebuyer now needs roughly seven years to save for a down payment.
That timeline could vary markedly by region, from less than two years in an affordable metro area with a large military population to nearly four decades in the priciest coastal city, Realtor.com
Is there good news in there? Realtor.com said that households looking to dip their feet into the housing market is that, amid cooling demand, easing mortgage rates, and improving affordability last year, the down payment saving timeline has shortened considerably from a recent peak of 12 years in 2022, according to the report.
The report noted that current time to save is still about double that of pre-pandemic levels, in part because the personal savings rate currently hovers just above 5%, down from more than 30% in 2020.
Post-Covid Households Were Stretched Thin
Realtor.com said that as inflation and the cost of living increased post-COVID-19, many households were stretched thin, leaving little discretionary income to put aside, and pushing the savings rate down to 3% in 2022, before it began to gradually recover.
At the same time, Realtor.com said that down payment amounts have exploded because of elevated home prices and intensifying competition for scarce inventory, particularly on the coasts.
Let’s look at the history. The typical home shopper put down just under $14,000 in the third quarter of 2019 and by the third quarter of 2025, that upfront amount had more than doubled to $30,400.
Down payments remain high while the savings rate is still low compared with five years ago. For these reasons, Realtor.com senior economic research analyst Hannah Jones said that saving for a down payment continues to be one of the biggest hurdles to homeownership.
In the second half of 2025, Realtor.com said that the U.S. homeownership rate decreased to 65%, the lowest since 2019, according to figures from the U.S. Census Bureau.
The Realtor.com 2026 national housing forecast projects that the new year will see the rate fall even further, hitting 64.8%, with elevated down payments identified as a key contributing factor.
Where you live matters, Realtor.com said. Geography plays a key role in virtually every aspect of the housing market, and down payment saving timelines are no exception.
Realtor.com said that new data analysis shows that affordable Southern cities and areas with major military populations offer the shortest timelines for saving for a down payment among the 50 largest U.S. metros.
“In these regions, smaller down payments combined with relatively robust household incomes lead to manageable saving timelines, often under five years,” Jones said.
Cities Near Military Installations Have Lowest Barriers
Cities that house military installations and locations with increased levels of Veterans Affairs loan usage have some of the lowest down payment barriers, Realtor.com said, because a high share of local homebuyers have access to zero-down financing.
So instead of spending their savings on a big down payment, Realtor.com said that home shoppers put their money toward closing costs.
San Antonio, Texas, is the home of Joint Base San Antonio—the largest joint base in the U.S. with a massive concentration of current and former service members. The home of The Alamo stands out for having the nation’s shortest down payment saving time, at just a year and three months, Realtor.com said.
From January through November 2025, the median down payment in San Antonio, dubbed “Military City USA,” was just $5,067—the lowest among the top 50 metros.
Second on the list of markets with the shortest saving times is Virginia Beach, Virginia, home to Naval Air Station Oceana and Joint Expeditionary Base Little Creek–Fort Story. The typical homebuyer there needs just two years to save up for the median $8,394 down payment, Realtor.com said.
“Beyond the military metros on the list, many of these areas boast strong income levels relative to home prices,” notes Jones. “Put differently, potential buyers in these markets tend to earn enough money that homeownership is within reach.”
Houston, Texas, and Birmingham, Alabama, have more listings at lower price ranges than those in many other metro areas, giving buyers extra breathing room compared with in-demand Northeastern metros where inventories are tight and competition for homes is fierce, Realtor.com said.
