What Are The Best And Worst Metros For First-Time Homebuyers? – NMP Skip to main content

What Are The Best And Worst Metros For First-Time Homebuyers?

Jul 22, 2021
Photo of a couple purchasing a home for the first time.
Director of Events

A new report from LendingTree explored what the best and worst metros for first-time homebuyers are, when it comes to the ease of purchasing a home.

Purchasing a home for the first time can be a daunting task, however, a new report suggests there are metros where purchasing a home for the first time isn't so difficult. A report from LendingTree explores the best and worst metro for first-time homebuyers in terms of the ease of purchasing a home.

To create its ranking of the best and worst metros for first-time homebuyers, LendingTree explored the average down payment amount, the average down payment percentage, the share of buyers using an FHA loan, the percentage of buyers who have credit scores below 680 and the share of homeowners who spend 30% or more of their monthly income on housing costs.

According to the report, Kansas City, MO; Oklahoma. City, OK and Louisville KY are the top three first-time homebuyer-friendly metros. These states had the highest share of buyers who are using FHA loans. Additionally, Oklahoma, Kansas City and Buffalo are the metros that feature the lowest down payments with an average down payment of $33,188 between the three, close to 50% lower than the average down payment of all 50 metros in LendingTree's study.

The worst metros for first-time homebuyers will come as no shock to readers. New York, San Jose and San Francisco are the top three worst metros for first-time homebuyers with extremely high average down payment amounts and a higher number of households that spend more than 30% of their income on housing expenses. 

Read more from the report, which ranks 50 metros from the best to worst for first-time homebuyers. 

About the author
Director of Events
Navi Persaud is Director of Events at NMP.
Published
Jul 22, 2021
Half Of Recent Buyers Say Their Mortgage Is Unsustainable Without A Refi

Truework finds 85% consider refinancing important to their financial health, revealing a highly motivated but financially vulnerable future borrower pool

Jul 27, 2026
Gen Z Drives 19% Of Purchase Inquiries With Just 10% Down

LendingTree data shows millennials dominate mortgage shopping and match baby boomers’ $65,000 median planned down payment

Jul 24, 2026
Equifax Mortgage Revenue Rises 25% Despite Weaker Loan Volume

Credit-score pricing contributed heavily to the increase, while exclusive VantageScore use remained limited

Jul 24, 2026
Mortgage Servicer Satisfaction Rises Despite Borrower Strain

J.D. Power finds better digital service, fee transparency, and issue resolution are strengthening trust while homeowners face mounting financial pressure

Jul 23, 2026
Home Price Growth Accelerates, But Luxury Buyers Skew The Market

Redfin’s index rose 3% annually in June, with luxury demand and limited move-in-ready inventory supporting prices despite elevated mortgage rates

Jul 23, 2026
Lenders Expect More Volume Without Adding More Overhead

TMC survey finds lenders are looking to current sales teams, experienced recruits, and lower production costs to drive second-half growth

Jul 23, 2026