The median down payment on a home in the U.S. in Q1 was … about 8% of the median home purchase price at that time.”
Lara Vukelich, writer for BankRate.com, Huffington Post, Travelocity and financial columns of other publications
In 2023, over 30% of all home purchases were made with less than 10% down, meaning that most of those buyers may not have been able to afford to pay their own buyer’s agent’s commission, which can range up to 3% or more of the purchase price in addition to the downpayment, if it had not paid by the property seller through the commission they paid to their listing broker, and this would have kept many buyers out of the purchasing market altogether and left many homes unsold. Because upfront money is often more difficult for many buyers to afford than gradual monthly payments are if they borrow a little more. That’s why smarter sellers still do pay the buyer’s commission out of their sale proceeds (rather than lowering their home prices by the same amount), and thereby those sellers broaden the pool of potential buyers for their properties by making their houses more affordable in relation to how much upfront money a buyer needs upfront purchase their homes.
And when buyers work with Wealth Share Realty, they are uniquely able to afford to pay even higher purchase prices than buyers that work with other real estate agencies, since we at Wealth Share Realty share the commissions we receive from those smarter sellers with our buyer clients.