Boost Your Home Down Payment with Your Tax Return

Fintech Lower reveals tax returns can make up nearly a fifth of an average down payment for a home.

COLUMBUS, Ohio, April 7, 2022 /PRNewswire/ -- Trying to save for a home? Your tax return could be just the boost your down payment needs. Lower, the multi-channel fintech aimed at building wealth through homeownership, found the average tax return makes up 19% of the down payment needed for a median priced home.

Current home prices are averaging $375,000. If you put 5% down for a home, that means the average return of $3,552 would make up nearly a fifth of what you need for your down payment. For first time homebuyers looking to put 3% down, that figure jumps to more than a third of their needed down payment.

"We know it's fun to take your tax return and splurge, but what could be better than investing in your future? A home is your greatest asset and using your tax return to boost your down payment will pay off significantly more than any other expense," said Director of Banking and Insurance, Maria Kamlowsky. "A healthy down payment will help you build more equity over time and boost your wealth."

While you're waiting for your dream home to come on the market, Lower urges consumers to place their down payment into a savings account to earn interest. Lower's HomeFund™ offers one of the highest APY's in the country at 0.75%.

"Saving smarter will help you afford more. There's no reason to let your money sit in an account that isn't going to allow you to earn interest," said Kamlowsky. "We're going to help you save 12.5 times faster than a regular savings account. Our goal is to get you into the home of your dreams and it all starts with the down payment you have available."

There is no minimum deposit required to start a HomeFund™ account. Lower will match consumers dollar for dollar, up to $500 in HomeCash, and there are additional opportunities to earn rewards to further build your down payment.

About Lower
Lower's multi-channel fintech platform helps consumers build wealth through homeownership, no matter where they are in their life's journey. Our products for mortgage, banking, insurance, and real estate provide customers with an intuitive ecosystem to simplify their homeownership goals, whether it's their first home or their last. Lower is a national and local best place to work, and the naming rights partner of Lower.com Field, home of the Columbus Crew.

SOURCE Lower