Core Insights - The average down payment for homebuyers between July 2024 and June 2025 is approximately 19% of the purchase price, marking the highest share in over 30 years [1][9] - This figure is nearly double the down payment percentage seen in the years following the 2008–09 housing crash and significantly higher than the 12% average just before the pandemic in 2020 [2] Down Payment Trends - Down payments have been steadily increasing over the past decade, indicating that current buyers are generally better-resourced or equity-rich [2] - A 19% down payment translates to about $82,300 based on the median U.S. home price of $433,200 [2] First-Time vs. Repeat Buyers - First-time buyers typically make a down payment of about 10%, which is approximately $43,300 on a median-priced home, while repeat buyers average 23%, or about $99,600 [4] - The disparity in down payment amounts is attributed to the funding sources; first-time buyers often rely on savings and assistance, whereas repeat buyers utilize proceeds from previous home sales [5] Financial Implications of Down Payments - Paying a 20% down payment can save buyers thousands by avoiding private mortgage insurance (PMI), which can add significant monthly costs [6][9] - For instance, a 10% down payment on a median-priced home results in a loan balance of about $389,900, with PMI adding roughly $3,900 annually, equating to over $19,500 in five years without building equity [8] Strategies for Saving - To reach a 20% down payment and avoid PMI, buyers are encouraged to automate savings into high-yield accounts or consider certificates of deposit (CDs) for guaranteed growth [10][11]

Company Overview - Better Home & Finance Holding Company is developing a next-generation AI mortgage platform aimed at simplifying and accelerating the mortgage process[11] - Mortgages originated with Better technology cost 43% less than the industry average[17] - The company's platform delivers a best-in-class experience with a 64 Net Promoter Score and a 4.1 out of 5 Trustpilot Score[21] Market Opportunity - The cumulative homeownership market size is estimated at $19+ trillion[19] - Home mortgages represent approximately 69% of total household debt[19] - Buyers pay fees to up to 10 intermediaries, accounting for ~10% of home price[21] Technology and Platform - The platform is powered by Tinman® AI, which enables faster rate quotes (3 seconds), pre-approvals (3 minutes), and loan closes (3 weeks)[21, 13] - The company's AI agent, Betsy, has led to a 3x increase in loan officer productivity[57] - The company retains loans on its balance sheet for approximately 26 days on average[30, 32] Financial Performance - In Q2 2025, the total mortgage revenue was $7886 thousand per fund[58] - In Q2 2025, the contribution margin per fund was $1064[58] - Adjusted EBITDA for Q2 2025 was $(26605) thousand, compared to $(23259) thousand in Q2 2024[79]