A Millennial’s Guide to Buying the First Home
For a young adult or millennial like you, one of the most coveted goals in life is to own your own home. It’s no denying that there will no such thing as achieving the American dream without a home. Unfortunately though, buying a home isn’t as easy as you hope it would be. In fact, there is a very small percentage of millennials who rightfully can call themselves as homeowners. Majority belong to those who either rent an apartment or still live with their parents.
Considering that you’re already ripe to become a homeowner, the time is now for you to finally make that push. Here’s a bunch of tips from us for you to begin realizing your dream.
1 – Make a habit of keeping all possible options open.
Unlike in the past several decades, it now has become quite challenging to buy a new home. The reason isn’t because homes for sale are very pricey; it’s just that it feels like the options are so limited. So if you have been saving up money to buy or pay for down payment on a specific type of home, then we recommend that you keep yourself open to other options because you might end up getting disappointed by limiting your preference.
2 – Take a closer look at your finances.
There is no point in dreaming to buy a home if you don’t consider yourself as financially stable. If you are someone who does not have regular means of making money or if you are having difficulties paying your bills, it means you’re not ready to become a homeowner; instead, you need to get your finances in order first. You have to showcase to the bank or finance institution that owning a home is a responsibility to can take.
3 – Be sure you are pre-approved before you start your search.
The moment you have your finances in order, it’s about time you determine how much you can borrow. This is important because it tells you the type of home you must be looking for. Searching through various mortgage websites online will help you find a lender and have a clearer picture of your chances of finally buying a home. More importantly, this process leads to you getting pre-approved for a loan. Simply put, there is no way anyone can buy a home without that pre-approval for a loan.
4 – Narrow down your options with practicality in mind.
Finally, always remind yourself that in buying a house, there is a corresponding responsibility of paying the monthly dues. Therefore, it always is a smart decision to be practical and choose a house that you can afford.