(415) 717-7243
Think You Have To Put 20% Down? Most First-Time Homebuyers Don’t.
Think You Have To Put 20% Down? Most First-Time Homebuyers Don’t.
According to Google Trends, online searches for down payment information have recently hit an all-time high. That is a strong sign that more buyers are trying to figure out what they really need to save before making a move.
If you are wondering the same thing, a local expert can help you sort fact from fiction. Because here is what a pro would tell you: you probably do not need 20% down.
The 20% Down Payment Myth
The idea that you need 20% down to buy a home is one of the biggest misconceptions in the homebuying process. There are benefits to putting that much down, but most first-time buyers put down far less.
Unless your lender specifically requires it, you usually do not need to come up with a 20% down payment. Some loan programs are designed to help buyers get into a home with much less money upfront.
See chart below.
The chart above shows the gap between the common assumption and reality. Many first-time buyers think 20% is the standard, but the median down payment is much lower. Contact Katia Bidaurreta your real estate expert.
What Buyers Are Actually Putting Down
If buyers are not putting 20% down, how much are they putting down? According to the National Association of Realtors, the median down payment for first-time homebuyers is only 10%.[ if available?]
That is half of what many people expect. It also means that if you have been waiting to save 20%, your timeline may be longer than it needs to be.
See chart below.
The chart above shows the median down payment for first-time buyers at 10%, which is much lower than the common misconception of 20%.
Read more about what it really takes to buy a home right now.
Why Down Payment Assistance Matters
There are also programs that can help you reach your goal faster. Many buyers do not realize how many down payment assistance options exist, or that they may qualify for help.
Research shows that a large share of first-time buyers may qualify for down payment assistance, but only a small percentage actually use it. That means a lot of people are missing out on support that could help them buy sooner.
See chart below.
The chart above shows the gap clearly: many first-time buyers qualify for down payment assistance, but far fewer actually take advantage of it. Explore our Home Buyer resources.
In the U.S., there are thousands of homeownership programs available, and some offer meaningful financial help. In some cases, you may even be able to combine more than one program.
Why This Matters in Sonoma, Marin, and Napa
If you are buying in Sonoma, Marin, or Napa Counties, this matters even more because local prices can make saving feel harder. Knowing what you actually need for a down payment can help you stop overestimating the amount you need and start making a more realistic plan.
That is especially true for first-time buyers in places like Petaluma, Santa Rosa, Novato, San Rafael, and Napa. A local agent can help you connect with the right lender and compare loan options that fit your situation.
Want To Know Your Real Number?
The best move is not guessing. It is getting clear on your budget, your financing options, and whether you may qualify for assistance. Contact Katia Bidaurreta today.
Bottom Line
Most first-time buyers do not put 20% down. If you have been waiting to buy because you thought that number was required, you may be waiting longer than necessary.
To find out what you really need to save and whether you qualify for help, connect with a trusted lender and a local real estate professional who can walk you through your options.
Meta Description: Think you need 20% down? Most first-time buyers don’t. See what buyers really put down and how Katia Bidaurreta can help in Sonoma, Marin, and Napa.
3 Things That Are Not Going To Happen in Today’s Housing Market
Earth Day Homebuying: How to Choose a More Sustainable Home
The 10 Best Markets for First-Time Buyers This Spring
This is a subtitle for your new post
Wondering If You Should Still Buy a Home Right Now? Here’s What To Keep in Mind
When buying a home feels out of reach, what are some families doing instead? They're buying multi-generational homes together in Sonoma, Marin, and Napa Counties—pooling incomes to afford $773K-$1.3M medians while grandparents help with childcare. Sonoma, Marin, Napa Affordability Crunch You crunch the numbers for a Petaluma 3-bed at $958K. Add $1,800/month childcare. Something gives. Sonoma medians sit at $773K, Marin $1.3M+, Napa luxury higher. Rates near 6% help, but down payments and daycare eat budgets. Families adapt: multi-generational buys. NAR says 14% of 2025 buyers went this route—up sharply. Childcare (6%) and grandkids (12%) now top reasons. In wine country, ADU-friendly homes make it work. Katia Bidaurreta at Compass sees it daily. Her Petaluma clients buy Santa Rosa properties with in-law suites. Finance background spots the math. How Multi-Gen Living Works Here Parents, grandparents, sometimes aunts buy together. Shared mortgage. Built-in childcare. Napa vineyard views for all. Solves two problems: Splits $4,500 payments three ways. Cuts $18K/year daycare when grandma watches kids. Why It's Growing Fast Sonoma inventory up, but prices firm. Marin families priced out of Mill Valley pivot to Novato multi-gens. Napa seeks estate-style with guest houses. Your Rohnert Park starter won't cut it. Buyers want: Must-Have Home Features Downstairs primary suite Separate entrance ADU Big kitchen for family meals 4+ beds, office flex Sonoma Plaza walkable or Marin views Pool/hot tub for grandkids Petaluma farmhouses convert garages easy. Santa Rosa new builds include casitas. Questions Before You Buy Who's on title? Loan? What if grandma moves? How split utilities, repairs? Privacy enough? Exit plan in 5 years? Talk attorney first. Katia connects you—stays in real estate lane. Local Examples That Work Petaluma: $1.1M craftsman, main house + ADU. Three incomes qualify easy. Novato: $1.5M mid-century, guest wing rented for mortgage offset. Napa: $2M vineyard estate, grandparents get pool house. Katia closed similar: Portuguese family pooled for Santa Rosa 5-bed. "Made homeownership real," they said. Watch Out For These Family drama over decisions One person wants out, others can't buy Zoning limits ADU short-term rental Inheritance fights later Compass title partners smooth ownership splits. Your Next Move Multi-gen beats waiting. Sonoma's 42-day market moves if priced right.
Conversational Question: My Sonoma County home hasn't sold yet—should I rent it out instead?
Petaluma, Rohnert Park, Novato, Marin County, Katia Bidaurreta, North Bay real estate, new home inventory 2025, California housing market, housing supply 2025, local real estate trends
A Shifting Market Means Smarter Pricing A few years ago, homes were flying off the shelves and getting multiple offers well over asking price. It felt like sellers could name their price and still have buyers lined up at the door. But today’s housing market is different. Inventory has grown, buyers are more selective, and homes are sitting on the market longer. Many sellers are having to adjust their price expectations to stay competitive. The Disconnect Between Buyers and Sellers A recent Realtor.com survey shows 81% of home sellers still believe they’ll get their asking price or more. But actual data tells a different story: According to the National Association of Realtors (NAR), 44% of recently sold homes went for less than the asking price. 1 in 3 sellers had to cut their price at least once before their home sold.
The California real estate market is showing strong signs of recovery , with home sales reaching their highest level in over two years . Declining mortgage rates and an increase in available inventory have fueled a resurgence in buyer activity, signaling a potential shift in the market. However, regional trends remain mixed , and uncertainty still lingers as the market heads into the second quarter of the year. Let's take a closer look at the key insights shaping California's real estate landscape.
