Buying a Home in your Twenties is Easier than you Think.
The millennial generation is extremely tech-savvy and well-educated. They typically know what they want and recently we’ve seen more and more twenty-something adults wanting to purchase their first home.
Unfortunately, there is no app that will put you in your first home. So, where do you start?
There is no doubt that buying your first home may be the largest purchase you’ll make in your life. So, first, make sure you are ready for that sort of a commitment. Millennials have been dubbed a nomadic group. If you are truly thinking about buying your first home it’s important to understand that to recoup the cost of your purchase you will need to stay in your house for at least three to five years.
You also need to be ready to roll up your sleeves. Handy work such as replacing appliance lightbulbs, yard work and swapping out air filters will now fall into your hands as the new homeowner.
If you can commit to the above keep reading…
Knowing how much money you’ve got coming in and going out every month is crucial. A lender will look at every piece of your financial picture such as your salary, bank statements, income taxes and spending habits so it’s important to have it all in order.
Remember to factor in property taxes, insurance and routine maintenance and sometimes – those unexpected home repairs – on top of what you think you can afford for a monthly mortgage payment.
You will also need to have money in-hand, up-front for closing costs and the down payment.
Now that you have your finances figured out, is buying a home still what you want?
If so, how is your credit score. If you are in your mid-twenties, you’ve probably established some type of credit, hopefully it’s creditable. Lenders closely consider your credit score when it comes to mortgage approval. Plus, the better your credit score, the better interest rate you’ll pay.
Lastly, find a profession real estate agent that you trust. This is one area where we strongly advise against a DIY mentality. An experienced broker will have the training and know-how to lead any first-time home buyer to a house that is right for them. They can help you make up your “wants and needs” list. They know the process of searching for homes, negotiating and walking you through the first offer to the final closing when those keys fall into your hands.
If you’re a twenty-something who’s decided that now is the right time for you to buy a home, we can help. Contact Audrey and Kip today and let them show you the way home…