Baby’s First Home: Parents Are Now Saving For Their Kids’ Down Payment Before Kindergarten

Rising housing costs are prompting parents to think about their children's future homeownership earlier than ever, according to Coldwell Banker's 2026 American Dream Report. The survey found that 82% of parents with children ages 5 and younger are saving or have considered saving for a future down payment, although only 14% have actually started putting money aside. Across all generations, 56% of parents have considered saving for a child's first home, surpassing those considering college funds (51%) or a first car (49%). The findings, based on a Harris Poll survey of more than 2,000 U.S. adults, also show that 85% of respondents consider homeownership central to the American dream.

Long-term financial planning offers a timely conversation starter for financial advisers, banks and credit unions, particularly those offering savings and investment products designed to help families prepare for major expenses. Real estate agencies and mortgage lenders can emphasize homeownership education, down payment planning and resources that help families understand the financial steps involved in purchasing a home.