$525k / 20% (mid-metro)
- price 525,000
- deposit 20%
- saved 35,000
- $2,200/mo
- growth 4.5% / APY 4%
2 years 11 months
Savings catch the rising deposit after 35 months. Starting deposit target is $105,000.
Is saving for a down payment still worth it?
The calculator compares your savings with a down-payment target while home prices grow each month. At $525,000, 20% down, $35,000 saved, $2,200 monthly, 4.5% price growth and 4% APY the gap closes in 2 years 11 months — or it shows the goalpost moving away when the market outruns your saving power.
Result
Enter price, deposit percent, savings and contribution.
This is a savings simulation, not borrowing capacity or a bank offer. Related: down payment percent and savings interest.
How it works
Deposit$525k×20%
Savings$35k+$2.2k
Close35 mo.
The model is a monthly simulation with compounding: home price grows at your market rate, the required down payment is always price × deposit percent, and the balance earns APY plus your contribution. Save power is the contribution plus interest on the current balance; deposit rise is how much the target moves each month.
At 400,000, 20% down, 20,000 saved, 1,500 monthly, 4.5% growth and 4% APY, savings catch the deposit after 45 months — matching the race chart in the result. When deposit rise stays above save power, the goalpost moves away within the 10-year horizon.
The calculator does not estimate loan payments, underwriting or insurance — only whether savings keep up with a rising down-payment bar.
Deposit race
The required down payment is a percent of home price, and price climbs every month at your market rate. The balance grows with APY plus contributions — the result chart plots savings (solid) against the moving deposit threshold (dashed). The first month with balance ≥ deposit is when the gap closes.
Annual rates become monthly via (1 + g)1/12 − 1 over 120 months. This is not a loan offer — only whether saving keeps pace with a rising down-payment bar.
When the goalpost runs away
“Goalpost moving away” means monthly deposit growth beats save power (contribution plus interest on the balance) and savings never catch the target within 10 years. Compare those two numbers in the stat cards before you model mortgage payments.
US/UK/EU growth presets are starting points only — enter what you see locally. Price drops, grants and bank rule changes are out of scope.
US metro deposit race (2026)
Example 1 uses a $525,000 purchase price as an illustrative mid-metro starter home — not a national median claim. At 20% down the required deposit starts at $105,000. With $35,000 already saved and $2,200 per month at 4.5% price growth and 4% APY, the monthly simulation closes the gap after 35 months (2 years 11 months).
Example 2 ($450,000, thin $400/mo contribution, 6% growth) shows the goalpost moving away within a 10-year horizon: deposit growth outruns saving power. Example 3 ($575,000, $80,000 saved, $3,500/mo, milder 3.5% growth) catches the target in 10 months — illustrating how contribution size and starting balance matter more than a slightly lower list price alone.
The calculator does not model mortgage qualification, PMI thresholds, or assistance programs. It answers one article-ready question: whether your savings path keeps up with a rising down-payment line in the scenario you enter.
Formula
Pt+1 = Pt × (1 + rg) · Targett = Pt × d · St+1 = St × (1 + ra) + m, with rg and ra from annual growth and APY. Hit: first month with S ≥ Target.
What the numbers mean
- save power
- Monthly contribution plus interest on the balance that month.
- deposit rise
- How much the required down payment grows month to month at your price-growth rate.
- gap
- Deposit minus balance; positive means you still need more cash.
- goalpost moving away
- Deposit rise exceeds save power — the target does not close within 10 years.
How to use
- Enter home price, deposit percent and current savings.
- Add monthly savings plus annual price growth and savings APY.
- Read the race chart and time to close the gap — or the moving-goalpost message.
- Copy the summary or press quote for an article.
Examples
Hot market 6%
- price 450,000
- deposit 20%
- saved 20,000
- $400/mo
- growth 6% / APY 3%
Goalpost moving away
Deposit rise ≈ $438/mo vs save power ≈ $449/mo at the start — within 10 years the gap does not close.
Strong saver
- price 575,000
- deposit 20%
- saved 80,000
- $3,500/mo
- growth 3.5% / APY 4.5%
10 months
A higher contribution catches the deposit after 10 months despite price growth.
Frequently asked questions
What does “goalpost moving away” mean?
The required deposit rises each month faster than your saving power (contribution plus interest on the balance). Within 10 years savings do not catch the target in this simulation.
How does home price grow in the model?
The annual market rate becomes a monthly rate: (1 + g)^(1/12) − 1. Price updates every month, and deposit = price × percent.
Is this borrowing capacity?
No. The calculator only compares a savings path with a growing down payment. Loan payments and credit scores are out of scope.
Where does time-to-goal come from?
From the first month in the simulation when the balance ≥ required deposit. If that never happens in 120 months, you see the warning.
What are the US/UK/EU presets for?
They set a typical house-price growth benchmark (for example 4.5%). You can overwrite with a local rate.
Does the result update live?
Yes. After you enter price, deposit share and contribution, the result refreshes as you go.
Sources
Page updated October 15, 2026.