One of the biggest reasons people put off buying a home is because they think they need to save a massive down payment first.

While that can definitely feel overwhelming, the good news is that many buyers today are actually purchasing homes with less money down than they would have needed just a year ago.

If you've been waiting because you think you need 20% down, this might change the way you look at buying a home.

Down Payments Are Getting Smaller

Recent data shows that the average buyer is putting down less money than they were last year. In fact, the typical down payment dropped by about $5,000 compared to the year before.

There are a few reasons why this is happening.

The housing market has become more balanced, which means buyers aren't competing as aggressively as they were during the crazy market a few years ago. Because of that, many people don't feel the need to put down extra money just to make their offer stand out.

At the same time, home prices in many areas have started leveling off. Since your down payment is based on the purchase price, a slower-growing market can naturally mean a smaller amount needed upfront.

You May Not Need 20% Down

One of the biggest misconceptions I hear is that every buyer needs 20% down.

The reality is that many loan programs allow qualified buyers to purchase a home with much less.

Loans such as FHA and VA have helped thousands of buyers become homeowners with low down payment requirements, and in some cases, no down payment at all.

Every buyer's situation is different, but it's worth exploring your options before assuming you need years to save.

Don't Overlook Down Payment Assistance

This is something many buyers never even ask about.

There are thousands of down payment assistance programs available across the country, and many people qualify without realizing it.

Some programs are designed for first-time homebuyers, while others are available even if you've owned a home before.

Many are also available to households earning well over $100,000 per year.

If you've never checked whether you qualify, you could be leaving money on the table.

Family Can Help Too

Another option that's becoming more common is receiving financial help from family members.

Many parents are choosing to help their children with part of their down payment or closing costs so they can become homeowners sooner.

If that's something available to you, it may help shorten the amount of time you need to save on your own.

The Bottom Line

Buying a home may be more achievable than you think.

Between lower down payment loan options, down payment assistance programs, and even help from family, there are more paths to homeownership than many people realize.

If you're not sure what you qualify for, I'd be happy to point you in the right direction and connect you with a trusted lender who can go over your options. You may be closer to buying a home than you think.