As the youngest of the millennial generation adjust to their adult lives and settle into their careers, many are now looking to settle down and find themselves—and their future families—a place they can call home. It’s important millennials are informed about the home buying process so common roadblocks can be prevented. Below are a handful of ways a millennial can prepare for the home buying journey:
Student Loans and Other Major Debt
One major way to prepare yourself before entering the real estate market—and prepare your wallet—is by working toward paying off the debt that may be hanging over your head (student loans, credit cards, auto loans, etc.) Keeping track of what you owe and when you owe it is key. Your focus shouldn’t be paying off your total debt in one large sum, as it will hurt your savings in the long run. Instead, create a monthly calendar and pay in manageable increments; this method is efficient and realistic.
Building Credit
Your credit history and credit score will have a significant impact on your ability to get approved for a loan to buy a home. If you haven’t already opened a credit card and plans to buy a home is on the horizon, now is the time to do so. Lenders want to see a substantial history of responsible borrowing from potential buyers. If you’re worried about overspending your funds and falling into a credit blackhole, treat your new credit card as if it’s a debit card by only borrowing what you are sure you will be able to pay off.
Exploring Loan and Lender Options
It’s essential to research your loan options and locate a lender who is reputable, easy to work with, and leaves you feeling confident throughout the entire mortgage procedure. You don’t want any unforeseen financing issues preventing you from getting to your closing date on time and losing the home of your dreams. Spend time figuring out which loan and lender options fit your individual needs best.
Affordability and the Down Payment
The price tag of a property and its accompanying down payment is enough to scare away any millennial buyer. The affordability of a home is not a problem that can be simply fixed by saving money. Figure out what you can realistically afford with your fund’s current state and stick to that budget.
Starting Your Real Estate Journey
While the home buying process may seem overwhelming and confusing at first, don’t let any of these common roadblocks keep you from finding the home of your dreams. If you’re ready to start your real estate journey, but need a bit of guidance, get in contact with Double Boldt Real Estate at (414) 807-6812 or corey.boldt@kw.com. We help our clients through every step of the process—buying, selling, staging—to deliver consistent results and help them find exactly what they’re looking for.
We at Double Boldt Real Estate understand the real estate journey can be a stressful and emotional process—and we promise to stand by your side the entire time. You won’t find anyone with as much passion for real estate and compassion for their clients. If your goal in 2021 is to buy a home, get started with us today: (414) 807-6812 or corey.boldt@kw.com
Double Boldt Real Estate is a proud affiliate of Keller Williams and is located in the heart of Wauwatosa. The team at Double Boldt has deep knowledge of the Wauwatosa, Elm Grove and Brookfield real estate markets, and have more than 15 years of experience buying, selling and staging homes, as well prospecting and negotiating. To learn more about Double Boldt Real Estate, visit doubleboldt.com.
