Mortgage. Why Are Young Adults Missing Out on Big Housing Opportunities?
Owning a home is a major accomplishment for anyone. So much so that ninety three percent of renters of the millennial generation say it is in their future plans to buy a home, according to a poll by Trulia. That number was a huge surprise to me since current statistics are showing a sudden hesitation for the younger generation to make a leap towards their future homes. One in three home buyers are first-timers, the article notes, meaning that only thirty three percent of people buying homes, are doing it for the first time. This number has to go up before any talk of a housing recovery gets serious.
Seeing as how mortgage rates are at an all time low and the values of homes have fallen, one would be inclined to deem this opportunity as a golden opportunity for most to be first time home buyers. So, why the hesitation to make a leap towards their future?
Some say it may be because young adults do not have the right job to qualify them for mortgages. Tight lending standards are certainly part of the equation. Others say that they are possibly trying to accumulate money for the down payment.
Regardless of the reason, they still might not miss their window of opportunity if they act sooner rather than later. The Federal Reserve System announced that it was keeping interest rates low until the unemployment rate drops below 6.5 percent, which is not expected to happen until 2015.
But in the meantime, young adults who are aspiring to be first time home buyers should take the proper steps in achieving that goal. For instance, they should strive to raise their credit score and start saving up to be able to put as large a down payment as possible.
Also they should learn more about mortgages and loans, as to be able to know what to expect and what is in store for them as they begin their journey, to owning their first home. Talking to an experienced real estate agent is always a good idea.
If you have any questions or concerns about your own personal situation I would be happy to give you a FREE consultation. You can call me at 916.442.6400 or send me an email at firstname.lastname@example.org or just visit my website: http:// www.jclrealty.com. If I can’t help you I will put you in contact with someone who can.
California Attorney and
licensed Real Estate Broker