The median downpayment for U.S. homebuyers has surged to $45,000, a figure that now represents more than six months of typical household income and highlights the growing gap between wages and upfront housing costs.

According to a new study released Jan. 20 by LendingTree, the median amount prospective borrowers plan to put down on a home increased by nearly 20% between 2021 and 2024. The analysis, which examined more than 1 million mortgage purchase inquiries on the LendingTree platform, reveals that saving for a home has become a significantly steeper hill to climb for the average American.

The report indicates that while incomes have grown, they have failed to keep pace with the capital requirements of homeownership. The median downpayment of $45,000 in 2024 is up from an inflation-adjusted $37,624 in 2021. In practical terms, this means the median downpayment now equals 6.4 months of the median household income, up from 5.6 months just three years prior.

As a result, the realistic timeline for building enough savings to buy a house has grown significantly. LendingTree estimates that a typical household saving 5% of its income would need 10.7 years to accumulate the median downpayment amount, compared to 9.3 years in 2021.

The study also found a shift in borrower behavior regarding loan-to-value ratios. In 2021, the median downpayment represented 10% of the loan amount; by 2024, that figure climbed to 15%.

This increase suggests buyers are aggressively attempting to offset high mortgage rates and monthly payments by bringing more cash to the closing table. However, an increased upfront investment that hits the standard 20% downpayment to avoid private mortgage insurance remains out of reach for the average American.

According to LendingTree’s analysis, hitting the 20% threshold on a median loan would require saving $58,500, which would take an estimated 14 years for the average saver to reach.

The report did show regional differences in affordability, with West Virginia the most affordable state, requiring an average of 4.4 months of income to cover the median downpayment. In contrast, California was the most expensive, requiring an average of 10.3 months of income.

In light of the growing costs, politicians and policymakers are exploring ways to help consumers afford homebuying. For example, the Trump administration recently floated the idea of allowing the use of 401(k) funds toward downpayments.