The Daily Savings You Need to Buy in 11 Largest Metros

August 12, 2019

Even seemingly small changes in a monthly budget can make a big difference when saving for a home, says Miron Lulic, founder and CEO of SuperMoney, a personal finance site. “Work out at home instead of going to a gym [saving around $50 per month], switch your cable for Netflix [saving about $50 monthly], only eat out on special occasions,” Lulic told realtor.com®. “Try to save at least 20% of your after-tax income, but any amount is better than nothing—even if it’s $20 per pay period.”

The down payment can be a barrier for first-time buyers. “But the sooner you start saving and the more you sacrifice, the sooner you’ll have a home of your own,” says Danielle Hale, realtor.com®’s chief economist. “Stash your money in a separate savings account so you don’t spend it, and you may be surprised at how quickly it adds up.”

Realtor.com® researchers analyzed the 11 largest real estate markets by population in the nation to figure out how much buyers need to save per day to buy a home there. Here’s a snapshot of a few of their findings:

New York

  • Median home price: $564,500
  • Average down payment percentage: 16.4%
  • Daily savings goal (over 5 years): $25.04

Los Angeles

  • Median home price: $769,524
  • Average down payment percentage: 18.1%
  • Daily savings goal (over 5 years): $44.40

Chicago

  • Median home price: $312,098
  • Average down payment percentage: 12.7%
  • Daily savings goal (over 5 years): $10.72

Dallas

  • Median home price: $350,000
  • Average down payment percentage: 12.7%
  • Daily savings goal (over 5 years): $10.65

Houston

  • Median home price: $324,925
  • Average down payment percentage: 11.7%
  • Daily savings goal (over 5 years): $7.90

Philadelphia

  • Median home price: $288,950
  • Average down payment percentage: 12.8%
  • Daily savings goal (over 5 years): $11.39

Washington, D.C.

  • Median home price: $462,450
  • Average down payment percentage: 11.5%
  • Daily savings goal (over 5 years): $14.07

Miami

  • Median home price: $399,000
  • Average down payment percentage: 13.3%
  • Daily savings goal (over 5 years): $10.86