Homebuyers Face Steep Down Payments Amid Rising Costs

Zillow's analysis reveals that due to rising home values and mortgage rates, the traditional 20% down payment is no longer sufficient for most buyers. Median-income households now need to put down around 35.4% to afford monthly payments comfortably, with even higher percentages required in expensive markets like Los Angeles and San Jose. This shift is making homeownership increasingly challenging, especially for first-time buyers who often rely on financial help from family.