A study by the Urban Institute found that those who purchase a home before age 35 could be in a better position to retire by age 60. While the most recent Home Buyer and Seller Generational Trends Report from the National Association of Realtors states that millennials make up the largest group of homebuyers in the U.S., many millennials are still waiting to become homeowners. Compared to baby boomers and Gen Xers when they were younger, millennials are still less likely to own a home.
New York Times Best Seller David Bach was recently featured in an article claiming that millennials must purchase real estate to build wealth. According to Bach, the average homeowner in the U.S. is 38 times wealthier than the average renter. By investing in real estate at a young age, millennials are positioning themselves for a financially sound future. When you purchase a home, you are making payments to build equity and in turn build your own wealth rather than the wealth of your landlord.
Many renters do not realize it is possible to purchase a home without a 10-20% down payment. Numerous homeownership programs are available to first-time homebuyers, offering down payment assistance or requiring little to no down payment. I would be happy to review these options with you to see if you qualify. I can also lend advice on building your credit and saving for a down payment on your first home.
Call me today for more information on how you can make the jump to homeownership.