Zillow’s 1% Down Payment Assistance Programs Arizona: Easing Homeownership Hurdles Amidst Soaring Rent Costs and Housing Crisis
Zillow introduces a 1% Down Payment Assistance Programs Arizona to facilitate home purchases amid rising rent costs and a housing crisis; the program requires just 1% down from eligible buyers, with Zillow Home Loans covering an additional 2%, aiming to lower barriers to homeownership and accelerate down payment savings.
Zillow is introducing a new initiative called the 1% Down Payment Assistance Programs Arizona to help people buy homes more easily. (PHOTO: Reals Project)
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Zillow Introduces 1% Down Payment Assistance Programs Arizona to Aid Homebuyers Amidst Housing Challenges
Zillow is introducing a new initiative called the 1% Down Payment Assistance Programs Arizona to help people buy homes more easily. According to GoBankingRates, with the rising cost of renting and the current housing crisis, saving the usual 20% down payment for a home has become very tough. Rent prices have gone up by about 28% since the start of the pandemic, making it hard for people to save money. Many Americans can’t save enough money for a down payment due to high living costs and economic conditions.
According to the report, most first-time homebuyers can’t afford a 20% down payment, with about 64% putting down less and 25% putting down even less than 5%. Zillow’s the 1% Down Payment Assistance Programs Arizona aims to change this by requiring only 1% of the home’s price as a down payment from eligible buyers. Zillow Home Loans will cover the other 2% when the deal is closed, making the total down payment 3%. While this the 1% Down Payment Assistance Programs Arizona is being tested, Zillow plans to expand it to other places as well.
Zillow’s 1% Down Payment Programs Arizona: Making Homeownership Attainable for Rent-Burdened Buyers
Zillow’s economist, Orphe Divounguy, shared that the program helps those who can pay higher rent but struggle with upfront home costs. This 1% Down Payment Assistance Programs Arizona lowers the entry barrier to owning a home and turns the dream of homeownership into a reality. Not only does this program make buying a home easier, but Zillow’s analysis also shows that it could help buyers save for the down payment more quickly. For instance, a buyer aiming for a $275,000 home and earning at least 80% of the local median income could save the 1% down payment of $2,750 in just 11 months with a 5% savings rate, with Zillow’s support. Without this program, it would take them 31 months to save the 3% down payment of $8,250.
