Millennials desperately want to buy Springfield MO real estate, but severely underestimate what they need for a down payment on a home. According to Apartment List data and an article by CNBC, people in their 20s and 30s are not buying homes in droves simply because they don’t have the down payment money and credit. Eighty-percent of young people said they want to own homes. Yet, 68 percent have less than half the money saved for a down payment. Another 44 percent have absolutely nothing saved for a down payment on a home. Continue reading
A lot of millennials delay buying a home for financial reasons. Most young people would love to own their own house to put down roots and raise a family. Before house hunting, spend some time with a calculator, bills and bank statements. According to a recent article by businessinsider.com, most millennials realize they are wasting money on rent. The article warns young people against combining too many major life events such as getting married, having children, adopting a pet and buying a home. If possible, match your home buying with a job hunt. Next, work on financial goals. Consider a few of the foolish money moves some people make before buying a home so you can afford a nicer house in your neighborhood of choice. Continue reading
Some experts point out Millennials make the mistake of buying a “starter castle” or a large home as their first home.
Weighing the pros and cons
When buying a home as a first-time home buyer – weigh the pros and cons of a traditional, small entry-level home vs. a large home.
Avoiding millennial home buying mistakes
According to a recent article by cnbc.com, stretching too much to afford a first home is the biggest mistake made by millennial home buyers. For the most part, Millennials buy fewer homes than their predecessors due to lower salaries, higher home prices, student loans and higher costs. Although some young people enjoy help from their baby boomer or Generation X parents, they struggle to come up with hefty down payments. By working with a Realtor to find a more affordable starter home, it’s possible to step up to a nicer home in 5 to 6 years. Continue reading
Buying a home is a major milestone and one that few people reach in their 20s. For those who do manage to get together the down payment and land the well-paid job in their 20s or early 20s, there are key lessons to learn from older home owners. Although it was a lot different to buy a home decades ago because of higher interest rates, some of the same principles still apply. When buying a home in Springfield, MO, consider the advice of established home owners who bought early in life. A recent article by forbes.com points out home ownership feels like a major leap into official adulthood. Continue reading