85% of Homeowners Wish They'd Known These Money-Saving Secrets Before Starting the Homebuying Process

New American Funding survey finds myths about down payments and costs of homeownership persist

• 20.7% of homeowners wish they knew about down payment assistance when beginning the homebuying process
• 43.9% said finding an affordable home was the hardest part of their buying experience
• 37.2% said maintenance and repairs were more than expected
• 72.9% of homeowners would still buy the same home if they could do it all over again

SANTA ANA, Calif., April 21, 2026 /PRNewswire/ -- About 85% of homeowners with mortgages say there is something they wish they had known before starting the homebuying process, according to a new national survey by leading mortgage lender New American Funding.

The biggest misconception involves down payments. About a fifth of those surveyed would have liked to know about down payment assistance programs as they began their homebuying journey. Another 13% of respondents did not know that they didn't have to provide a 20% down payment.

"The long-held belief that you need a 20% down payment to purchase a home is simply not true. When someone assumes they need that much, it can be discouraging. But the reality is much different," said New American Funding President Christy Bunce. "Homebuyers have a significant number of options when it comes to loan programs that could cut that percentage dramatically. New American Funding can help homebuyers find the right solution that works for them."

The 20% down payment myth is fading, but not fast enough

When it comes to the 20% down myth, Gen Z (17.4%) is more than half as likely than Baby Boomers (11.6%) to have believed that misconception. But the data also shows that when buyers do enter the market, most find a way to purchase a home with far less money upfront.

The findings show that 72.6% of respondents put down 10% or less when they bought their homes. Baby Boomers (18.1%) were the most likely to make a down payment of more than 20%.

However, 59.6 % of Gen Z buyers and 44.8% of millennials put down 3.5% or less. In fact, 18.1% of Baby Boomers, 15.5% of Gen X, 10.1% of Gen Z, and 9.9% of millennials surveyed said they didn't make a down payment at all. This may be because they used a 0% down loan, received down payment assistance, or help from family and friends to cover the expense.

Homebuyers in the Northeast (17.9%) were twice as likely as those in the West (8.9%) to wish they knew they didn't have to make a 20% down payment. The South (17.7%) had the highest percentage of buyers who put down 0%, compared to just 7.4% in the Northeast, 9.7% in the Midwest, and 13.4% in the West.

About 10.6% of recent homeowners would have preferred knowing they could negotiate with their sellers. And 9.9% would have liked to know about minimum credit score requirements to qualify for a mortgage prior to starting the process of purchasing a home.

Affordability is the top challenge for recent homebuyers

Finding the right home that they could afford was the hardest part for 44% of respondents.

About a third of Gen Z and millennials received financial help from family and friends. Still, the vast majority navigated the process without financial support. Nearly three-quarters of recent homeowners, 71.7%, said they didn't receive financial help from family or friends.

Northeastern homeowners received the most financial help, with 32.1% getting up to 20% of the sale price. That was compared to homeowners in the Midwest (20.7%), West (20.7%) and South (21.3%).  

Many homebuyers underestimated the cost of ownership

The actual cost of ownership was higher than anticipated for many homebuyers (17.1%). About 16.4% bought a home that needed more work than they expected and 13% felt they overpaid for their homes.

Maintenance and repair costs were higher than expected for 37.2% of respondents, followed by property taxes (25.4%) and utility bills (22.3%).

Despite the costs, about a quarter of recent homebuyers (24.8%) plan to stay in their homes for the rest of their lives. Baby Boomers (38.1%) were the most likely to want to stay in their homes forever, followed by Gen X (31.6%), millennials (18.5%), and Gen Z (11%).

And 72.9% of respondents would buy the same home if they could do it all over again.

"In today's housing market, buyers should take advantage of money-saving opportunities. Down payment assistance programs, negotiating with sellers, and loans that allow lower down payments are powerful tools that can make the difference between waiting on the sidelines and securing your home," Bunce said. "At New American Funding, our loan officers partner with homebuyers to help them navigate the process with confidence."

Methodology
The national survey was completed by 1,056 homeowners whose loans are serviced by New American Funding. The survey was conducted in November and December of 2025.

About New American Funding
New American Funding is an independent mortgage lender with a servicing portfolio of more than 277,000 customers representing $72 billion in value and more than 300 locations nationwide. New American Funding was recently recognized on the Most Trusted Brands list by USA TODAY and a top mortgage lender by Forbes Advisor, U.S. News and World Report, and Money.com. The company offers state-of-the-art career training, innovative technologies, and diverse loan products to streamline the mortgage process and help customers achieve homeownership.

Equal Housing Opportunity. © 2026 New American Funding, LLC. NMLS #6606. nmlsconsumeraccess.org. Corporate office 1 MacArthur Place, Suite 800, Santa Ana, CA 92707. http://www.newamericanfunding.com. Phone: 800-450-2010

Media Contact:
Mattie Van Gundy
Interdependence
713-409-1835
[email protected] 

SOURCE New American Funding