Average down payment on a house Meaning and Definition

Pronunciation

/ˈævərɪdTaʊn PAymənt ɔn ə haʊs/ 🔊

Part of Speech

Noun

Definition

The amount of money that a home buyer pays upfront towards the purchase of a house, typically ranging from 5% to 20% of the purchase price.

Examples

• The majority of first-time homebuyers make a down payment of around 10% of the house price.
• Average down payment on a house can vary significantly depending on the location and type of property.

Etymology

The term “down payment” originated in the late 19th century, with the phrase “put down” meaning to pay a sum of money as a deposit.

Usage Notes

Average down payment on a house is typically used in the context of real estate transactions and financial planning.

Cultural References

In the popular TV show “House Hunters,” the term “down payment” is frequently mentioned as homebuyers navigate the process of purchasing a new home.

Idiomatic Expressions or Phrases

Common idioms or phrases that include the word are “putting down roots” or “investing in a place.”

Related Words or Phrases

• Down payment
• Homebuying
• Financial planning

Collocations

Average down payment on a house is often paired with words such as “mortgage,” “home loan,” and “property.”

Frequency of Use

Average down payment on a house is a commonly used term in the real estate industry, especially among first-time homebuyers and those planning for a future purchase.

Common Misspellings

Some common misspellings include “averange down payment” and “average downpatment.”