Owning your first home is an exciting milestone, one that promises to elevate your lifestyle. However, navigating the current Triangle area market requires careful planning. Limited housing inventory and affordability concerns are realities that first-time buyers need to be aware of.
If you’re prepared to purchase your first Raleigh home, here are three strategic tips to help transform your aspiration into reality.
Leverage First-Time Homebuyer Programs for Savings
The initial financial requirements of buying a home, like the down payment and closing expenses, can seem overwhelming. Fortunately, numerous first-time homebuyer programs offer financial aid, potentially reducing or eliminating upfront costs. Bankrate states:
. . . you might qualify for a first-time homebuyer loan or assistance. First-time buyer loans typically have more flexible requirements, such as a lower down payment and credit score. Many help buyers with closing costs and the down payment through grants and low-interest loans.”
Consult your state’s housing authority or visit websites like Down Payment Resource to explore available options.
Broaden Your Search to Include Condos and Townhomes
With the current shortage of available homes driving up prices, exploring condos and townhomes can be a practical solution for affordability. These types of properties often come at a lower cost, providing an accessible entry point into homeownership. Realtor.com notes:
For many newbies, it might just be a matter of making a shift toward something they can better afford—like a condo or townhome. These lower-cost homes have historically been a stepping stone for buyers looking for a less expensive alternative to a single-family home.”
Choosing a smaller property like a condo can be an effective way to start building equity, which can serve as a financial springboard to a larger home in the future. Hannah Jones, Senior Economic Analyst at Realtor.com, emphasizes:
Condos can help prospective homebuyers who perhaps have a smaller budget, but who are really determined to get a foothold in the market and start to accumulate some equity. It can be a really great entry point.”
Embrace Multi-Generational Living by Pooling Resources
Another avenue to homeownership is purchasing a multi-generational home with friends or family, which can distribute the financial burden more manageably. This approach can enhance mortgage qualification prospects and make higher-cost markets accessible. As Money.com reports:
Buying a home with another person has some obvious advantages in the mortgage department. With two incomes in the mix, buyers can likely qualify for a larger mortgage — a big help in today’s high-cost market.”
Bottom Line
Exploring first-time homebuyer programs, considering condos and townhomes, and pooling resources for a multi-generational home are viable strategies to achieve homeownership. When you’re ready to take the next step, contact Linda Craft Team Realtors to discuss how you can successfully navigate the path to buying your first Triangle area home.