Anxiety about having enough money for a down payment is one of the factors keeping Millennial renters from buying a home, according to a new national survey by LoanDepot cited in the September 2017 Down Payment Report.

Some 63 percent of young renters participating in the survey said that they are concerned about having enough money for a down payment. Millennials are unsure how much they need to put down, with the average coming out to 32 percent while the industry standard is typically a 20 percent down payment.

“It’s clear from the survey results that Millennials have a lot of anxiety built up about the homebuying process,” David Norris, LoanDepot’s head of retail lending, said in a statement. “There is good news, however, as there’s more flexibility than most Millennials think regarding how to qualify for a loan and what’s needed for a down payment.”

Of those surveyed, 49 percent currently have a home mortgage, yet just 27 percent said they felt knowledgeable about the home purchase process when they began. For those who’ve already made the jump to homeownership, they wished they’d known more about interest rates (55 percent), types of loans available (47 percent) and how the pre-approval process worked and what down payment they’d need (45 percent each) before setting out.

“The best advice I have for young buyers is to not believe everything you read on the Internet,” John Pearson, LoanDepot lending officer, said in a statement. “When talking with a professional, you can discuss your specific financial situation and the lending officer can help you determine how much down you’ll need and what a monthly mortgage payment will look like.”

Millennials Anxious About Down Payments

by Jim Morrison time to read: 1 min