What’s the biggest fear you hear about from first time buyers about the process, and how do you respond to it?
One of the biggest fears I see with first time buyers is navigating through all of the various stages of home purchase process. More than anything buyers are fearful of transitioning from either renting or living with a parent to actually going out on their own and being able to afford what they are buying. The fear of being fiscally responsible is one I see a lot. When buying a home it is vital to understand all the costs involved with buying a home. This is important not only during the actual purchase but after the fact when living in the home. Many buyers forget there are other costs besides paying the mortgage.
When you bought your own first home, what did you learn about the process?
Buying my first home was a little bit different from the average buyer. I was one of the few first timers who built my first home. Fortunately for me my dad was a builder and I had been around new construction since I was a little kid. One of my goals in life was to actually have a new home. Needless to say this was something I accomplished at the age of twenty three. This would not have been possible without becoming a Realtor at the young age of nineteen. During college I got my real estate license and starting selling homes at a very young age. My income was nothing like what my peers were earning at this time in their lives.
Building a home was a great experience that taught me first hand many of the things I know today about selling new construction. In fact my second home and the one I live in now was also a custom built home. Like anything else in life you learn from your mistakes. Having built my first home the second time around was a breeze.
Is now a good time to be a first time buyer? Why or why not?
Given the fact that interest rates are at record lows for the last few decades you could not find a better time to buy a home. Without a doubt at some point the attractiveness of today’s rates will change. The cost of renting a home in most areas is as expensive as buying a home.
Buyers can begin to take their hard earned money and start building equity rather than making their landlord rich. The tax advantages of home ownership should never be discounted when deciding between renting and buying. Every year you are own a home the chances of building equity increase. As mentioned in the article you are also afforded when of the best tax breaks of deducting the interest on your loan.