 TITLE: Should You Save for a Down Payment or Pay off Student Loans? CONTENT: When Does It Make Sense to Save for a Down Payment First?\n---------------------------------------------------------\nIn some circumstances, directing more of your income toward saving for a down payment could pay off in the long run. Consider doing so if:\n*   **Mortgage rates are especially low.** Mortgage rates are currently at a historic low, which can mean big interest savings compared with what you'd otherwise pay. Striking while the iron's hot and locking in a fixed lower rate now can stretch your dollar further and get you in the home of your dreams. Lower rates also help shave down your monthly mortgage payment to a point that it makes homeownership affordable.\n*   **Home prices are looking good.** Prices can vary greatly depending on local markets, but the national median home price as of June 2020 was $295,300. That's up over $17,000 from last year, which means that home prices are currently on the rise. It's impossible to predict future home prices, but waiting around as they continue to climb could mean missing out on great homebuying opportunities. That being said, many local markets are also seeing a sharp increase in pandemic-related short sales and foreclosures. END