There is a new feature on Redfin’s online listings. The brokerage has added down payment assistance information to home listings on its website.
The new feature is powered by a partnership with Down Payment Resource, a company helping connect homebuyers with more than 2,200 homebuyer assistance programs nationwide, and it enables prospective homebuyers to discover down payment assistance programs they may qualify for.
“Nearly half of Americans who have never owned a home say that saving money for a down payment is a barrier to homeownership, and many young people in particular feel like they’ll never be able to own a home,” Christian Taubman, Redfin’s chief growth officer, said in a statement Thursday. “Down payment assistance programs can make homeownership more attainable, but information about them is often fragmented and hard to understand.”
Eligible for-sale listing pages on Redfin in U.S. markets now display the number of down payment assistance programs available in that area. According to the release, prospective homebuyers interested in seeing if they qualify for any down payment assistance programs can input basic information and immediately receive a tailored list of programs they may qualify for, the amount of assistance potentially available to them, and links to the program pages for more information.
Thanks to rapidly appreciating home prices and rising mortgage rates, homebuyers have lost purchasing power, making down payment assistance programs all the more valuable. According to research from Redfin, U.S. homebuyers who took out a mortgage in July made a $62,500 down payment, nearly double the median down payment in July 2019.
“Our research shows that one in three declined mortgage applications are denied for reasons that could be addressed with homebuyer assistance, which underscores the critical need to increase awareness about these life-changing programs,” Rob Chrane, the CEO and founder of Down Payment Resource, said in a statement. “With thousands of assistance programs available across the country, many Americans may be able to afford homeownership sooner than they realized.”
Redfin said this launch is part of the firm’s greater mission to “remove barriers to homeownership and make finding a home clear and achievable.”
