Home Buyers in Monroe, LA Are Making Some of the Smallest Down Payment in the Country

High demand for housing during the COVID-19 pandemic, along with limited supply, created a strong sellers market that resulted in record-breaking home values. At the same time, mortgage lenders and sellers were able to demand concessions from buyers facing steep competition. While these conditions have changed in recent months, buyers in many markets are still forced to put down a large down payment.

According to realtor.com, a real estate data platform, the average down payment for a single family home hit 14% of a home's purchase price in 2022, up from 11% in 2019. Using the most recent national median home value as reported by the U.S. Census Bureau, this means the average down payment rose from about $31,000 to over $39,000 in a three-year period. (Here is a look at the states where home values increased the most during COVID.)

Still, there are parts of the country where homebuyers do not need a small fortune to afford a down payment.

The average down payment for homebuyers in the Monroe, Louisiana, metropolitan area was just 4.7% in September 2022, the second lowest of America's 300 largest metro areas, according to realtor.com.

Not only are down payments relatively small in Monroe, but homes are also generally less expensive overall. Data from realtor.com shows that the median home purchase price in the metro area is just $192,000, below the national median home value of $281,400, according to the U.S. Census Bureau's 2021 American Community Survey.

Click here to see each of the 10 cities where people need the smallest downpayments to buy their home.

All data in this story from the U.S. Census Bureau and realtor.com.