Being the most knowledgeable and financially-conscious generation in history, millennials (or those aged 27-41) are now among the biggest group of homebuyers today. Given their passion and idealism in all of their life’s commitments, you can really tell how important it is for these millennials to see that their efforts pay off. In this case, to acquire and live in the home they’ve always wanted.
When it comes to investing in real estate, millennial buyers are very particular about their choices, given that they are now at the peak of their careers or are starting a family of their own. Instead of spending their hard-earned money on the latest gadgets or luxurious items, the millennial generation is increasingly interested in becoming a part of the real estate landscape. That’s why today, we are now seeing an influx of millennial buyers looking for homes that fit their unique needs lifestyle preferences.
However, if you are a first-time millennial buyer, the buying process can be difficult and time-consuming. In this article, we’ve put together some tips to help you avoid making bad decisions when buying your first home.
#1 – Assess whether the time is right for you to buy.
You may have heard reports or stories about young professionals or entrepreneurs who recently bought a home property in the very area they wished to live. Well, congratulations to these individuals for making the right calculations and acting on them. But not every story ends this way.
Every person’s circumstances differ, and when it comes to home buying, your financial situation should be your topmost consideration because this involves spending a large sum of money. You also need to consider whether you have enough savings or how much you’d need to put down as a down payment. In other words, don’t rush into a decision. Instead, plan carefully and responsibly.
#2 – Start saving and build a budget.
You know very well that homes in today’s market are very expensive. So, a crucial part of planning is early saving, and creating a budget that accounts for all expenses is an important part of planning. You can do this by calculating the total cost of purchasing the home you want and seeing that you have enough money set aside for contingency funds. Once you’ve figured this out, you’ll be able to finally decide whether to buy the property or not.
#3 – Explore other funding options.
If your savings are insufficient to cover the price of the home you want to buy, there are several funding options you can make use of. There is the mortgage option, in which you can get a home loan from a bank or other credible financial institution to pay for the property. Depending on your expected monthly income, you can select the payment duration that is most convenient for you. Just make sure you figure out how much of a mortgage payment you can afford so you don’t spend all of your money on this property.
#4 – Find a trustworthy real estate agent to work with.
Finally, and perhaps most importantly, find a reputable real estate agent to work with. Because the real estate market is always competitive, you’ll need professional assistance throughout the bidding and purchasing process. In the South Shore, MA area, for instance, ReMax Deluxe has the best real estate agents – all professional and highly experienced in all things real estate.
Are you a first-time millennial homebuyer? Talk to one of our agents today at 781-829-4301, so we can better assist you with your plans.