80 percent of millennial buyers say homeownership has positively impacted their long-term finances. Buying rather than renting will save you money in the long run, so don’t be afraid to make the jump! It’s called an investment. It may seem scary, and “adulting” can be very frightening, but homeownership can be an excellent decision when you do all your research. There are many moving parts to buying a home so it’s important to have all the information necessary for you to make that transition and sign on the dotted line.
Here are some Millennial specific tips for buying a home:
Don’t assume you can’t afford a home.
Living from paycheck to paycheck can really take a hit to your financial confidence. It can cause you to assume that you just can’t afford to buy a house and are destined to rent forever. What you need to do is to get a true and bigger picture of your finances. A little budget app on your iphone is not enough for this situation. You’ll need to get in touch with the professionals. Ownium can take the fear down a notch and walk you through the financials. If you can, indeed, afford to buy there is some more great news attached. Over time, most homes appreciate in value which is why homebuying is an investment. It’s generally not as expensive as it seems!
Go In With Your Eyes Open
It can be so easy to get swept up in the glorious fantasy of finding your dream home. Social media can sometimes overwhelm our brains and plant things in our minds that we think we ‘need’ in a home. This can make it difficult to be realistic and can blur our vision when we need to see cracks in the foundation; sometimes even literally! Don’t let that picture on Pinterest of the perfect kitchen make you overlook the signs of a termite infestation in the basement of your potential dream home. Be realistic and be critical. On average, a homeowner that discovers damage from termites will spend $3000 to repair the destruction. Don’t gloss over those little gnaw marks or holes just because you fell in love with that kitchen island!
Don’t Show Your Hand
You’ve made it through all the showings. You have looked through all your financials. You are ready to buy. However, it’s very important for millennial buyers to come across motivated but not too eager. Every negotiation is different, but if you can back up your offer price to the seller’s agent with current market research you present yourself as professional and not easily taken. Have a face-to-face meeting with the sellers coming up? Do some reading. Familiarize yourself with recent sales in the area so you can negotiate from a strong place of knowledge. No one’s gonna push this Millennial around!