a Guide on the Better Option between Starter Homes and Forever Homes for First-Time Buyers
Buying a house is not a cheap thing to do, and the median house price in the US is currently at $280,000. For the first-time buyer, buying a house can be both exciting and daunting. You may be wondering whether it is better for you to buy a starter home and get yourself on the housing ladder quickly or to wait longer and safe for a forever house, which is your dream home. Discover the advantages and disadvantages of both herein.
Starter homes will avail multiple benefits to you. The first benefit is that starter homes provide affordability. Young couples and individuals can prefer this option when they are seeking to get on the property ladder quickly. Secondly, it will be possible for you to move into the house soon because it is a house that you can afford. A starter house can increase in value rapidly, and can, therefore, serve as an investment. When you move into an area that is sought after, your property will be worth exponentially more in the future.
There are also various downsides of choosing a starter house. There will be more moving because a starter house is not a forever house. Moving involves a lot of hassle and is time-consuming. You will need various upfront costs to make the home comfortable and in line with your preferences. Even if it may be fine structurally, the starter house cannot be the house of your dreams, and you have to spend to make it what you want. The other con is that you may have trouble selling a starter house, and you can face a long and tiring process to get out of it if no one wants it.
You will attain different gains when you decide to purchase a forever home. The forever house will be your dream home, and most features about the home will be what you have selected yourself, thus adding to your satisfaction. When you have a growing family, a forever home will be suitable because the houses are generally larger than starter homes. Thus, couples who are starting a family can have enough space for children and pets. A forever home will also give stability to the home buyers because they won’t need to make other housing decisions for a long time to come.
Purchasing a forever home will also have various downsides. Firstly, the expenses involved in purchasing a dream home will be significant. You will need to spend on down payment and mortgage, and you may need to save up for many years so that you can get here. The forever houses may also keep appreciating, such that you experienced decreasing affordability over time. Anyone who is averse to commitment should also not think of choosing a forever house.
Depending on a person’s current circumstances and aspirations, one should make the decisions that work best for them.
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