Monday May 23, 2016
To buy, or not to buy. That is the question for many Generation Y'ers.
No doubt, the economic waves in recent history (and present times) have made it difficult, or presumably difficult to live the coveted American Dream. Limited job prospects and student debts have made it challenging to save for a down payment, and many are weary of the all-time-low interest rates. But the truth is, now is arguably the best time to buy a home.
The housing market sank during the Great Recession, and while lenders have risen their standards, landlords have also risen rates exponentially. Millennials who have hopes and dreams of owning a home should take this into consideration. Higher rent payments will make saving for a down payment even harder. Now, monthly mortgage payments are often smaller than rent payments - and buying a new home is more than 20% cheaper than renting.
For those who plan to stay put in one area for five years or more, buying would be a smart option, because equity will be built, and in just five years - that's some quick ROI.
Historically low interest rates are still hanging around, but with the housing market on the upswing, inventory is low, and prices are getting higher. So while it is still extremely affordable to purchase a home, the amount of home you can afford is now decreasing.
Now is the time to buy. Inventory is low across the board in the US, but it is the worst for entry-level and single-family homes. If you've done some looking around, you've probably noticed this. So don't buy old - build new.
Faber Homes has a long standing partnership with Blueberry Hill Apartments in Chili to help homeowners realize their dreams of owning a brand new home. Rent for one, two or three years at reasonable rates to earn thousands back towards the purchase of a new home. Or work with one of our preferred lenders to join the First Time Homebuyers Club and save money over a 10 month period of time. We also have a First Time Homebuyer Grant opporutnity for eight qualifying homeowners with the Rochester Urban League of Development to earn up to $45,000 towards the purchase of a brand new home in our Creek House Village community.
There are options. There are programs. There is help for Gen-Y'ers looking to become homeowners. At Faber Homes, we believe owning a home is a right and not a privilege.