LendingTree Ranks States According to Average Down Payment Percentages
Down Payment Amounts Decrease, Rates Rise as Housing Market Recovers
According to a recent report released this week by LendingTree, down payment percentages for 30-year fixed rate purchase mortgages are declining, just as home prices and mortgage rates begin to increase. The study reveals that average down payments have dropped 9.4% since May 2011.
"As the housing market begins to improve, lenders are beginning to loosen their guidelines to more normalized standards and approve loans with lower down payments," said Doug Lebda, LendingTree founder and CEO. "Although a good credit score is still important to have, borrowers may have an easier time qualifying for loans after years of tight guidelines, especially as home prices rise and we see fewer homeowners underwater."
An infographic released by LendingTree ranks each state according to the average down payment percentages offered to LendingTree customers. The top ten states with the lowest average down payment percentage for a 30-year fixed rate conventional loan are:
- Mississippi 11.9%
- West Virginia 12.0%
- Alabama 12.4%
- Kansas 12.7%
- Missouri 13.2%
- South Dakota 13.4%
- Indiana 13.6%
- Tennessee 13.6%
- Idaho 13.6%
- Wisconsin 13.7%
New Jersey, California, New York, Massachusetts, and Hawaii have the highest average down payment percentages.
About LendingTree, LLC
LendingTree, LLC is the nation's leading online source for competitive home loan offers, empowering consumers during the mortgage, refinance or auto loan process. LendingTree provides an online marketplace which connects consumers with multiple lenders that compete for their business, as well as an array of online tools and information to help consumers find the best loan. Since inception, LendingTree has facilitated more than 30 million loan requests and $214 billion in closed loan transactions.