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How hard is it to come up with a downpayment?

ORLANDO, Fla. – Dec. 8, 2015 – A first-time buyer earning an average income in Florida needs 22.64 years to accumulate a 10 percent downpayment for a median price home, according to a new analysis from Builder.
Only households in Hawaii need more time to save up for a downpayment – 26.79 years.
Builder mashed up data from Metrostudy and the U.S. Census Bureau, using 2015 median new-home prices, 2014 median household incomes (the latest available), and median monthly rental costs in each state (because most people rent before buying).
Rule of thumb dictates that households should not spend more than 28 percent of their gross income on total housing expenses. Builder calculated how much of that 28 percent is spent on rent every month in each state to pinpoint the balance that people would be contributing to a downpayment savings account each month.
Overall, an average U.S. family needs almost eight years to save a downpayment, according to its calculations.
Source: Builder (12/01/15)
© Copyright 2015 INFORMATION, INC. Bethesda, MD (301) 215-4688  
Source: Florida Realtors Feed

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