RealtyTrac has unveiled a heat map highlighting where homebuyers used low down payments most often in 2014.
Hot green indicates areas where low down payments of 3 percent were most common (accounting for more than 27 percent of total mortgage loans made), and red indicates areas where they were least common (comprising less than 4 percent of total mortgage loans made).
Here’s the map.
RealtyTrac’s map is part of a larger analysis conducted by the data aggregator on down payments on home purchases in 2014. The analysis was based on purchase loan and sales data for single-family homes in condos in 386 counties across the U.S.
One the study’s takeaways is that entry-level home buyers stand a better chance at purchasing homes in low-priced markets — not just because homes cost less, but also because buyers generally use much smaller down payments to purchase homes, said RealtyTrac CEO Daren Blomquist in a statement.
The average down payment in the 25 lowest-priced counties was 12 percent ($ 8,239), only half the average down payment of the 25 highest-priced counties ($ 138,547), RealtyTrac found.
Overall, buyers in the examined counties put down an average of 14 percent ($ 32,141), according to RealtyTrac.