Buyer Millennial Myths

So, the American Dream may look a little different these days. Millennials spend more time pursuing career endeavors, traveling and waiting longer to settle down with a family and house than people did in past generations. While I’m a big fan of spending money on experiences and not things, I also believe home ownership is such a good financial investment and an important aspect of creating long term wealth.

Here are a few homeownership myths that might be keeping some first time homebuyers from turning their rent into a mortgage.

✖️YOU NEED A 20% DOWN PAYMENT | It has been a long time since this was a requirement. Conventional loan programs only require 3% down, and there are down payment assistance programs that could be an option as well.

✖️YOU WON’T BE ABLE TO QUALIFY FOR A MORTGAGE | You don’t have to have a perfect credit score or be completely debt free to qualify for a mortgage! In fact, most people have some mixture of student loans, car payments or credit card debt. If you’re curious, you can chat with a lender and see what your options are...you might be surprised! If now isn’t the best time, a lender can offer suggestions on what actions to take to put yourself in a better position in the future.

✖️OWNING A HOME WILL TIE YOU DOWN | While it does usually make the most sense to own a home for at least a few years before selling, there are so many options for long-term and short-term rentals (Airbnb!). You can always have someone else pay your mortgage if you want to travel or make a move.

When you are paying a mortgage instead of rent, you’re investing that money into yourself...ultimately you will be paying it either way. If you look back over the last year...or five...and think of how much money you’ve paid in rent you will probably go 😳. It’s also important to consider that historically homes appreciate over time, which increases the equity you have in the home...So when it’s time to move you can cash in on your investment instead of just getting your security deposit back!