We are now seeing a changing trend in the Real Estate Market. Rising rental prices are encouraging the millennial’s generation to experience a nudge toward homeownership, and reports showed that First-time buyers are now at the front line of buying a home. The Zillow Housing Confidence Index also said that about 5.2 million renters are expected to purchase a house this year, up from 4.2 million a year ago. Where job growth is strong, the millennial who were once renting are ready and willing to buy.
The United States has about 75 million millennials — people born from 1980 and 1995 — and expected this year to surpass the baby boom generation according to a report released by the Pew Research Center. Buying a home can be terrifying, and even though this is a big step, many of us have taken it and enjoyed the comfort and security that homeownership has provided for our loved ones and ourselves.
Sandy Flores Broker/Realtor (714)963-7462 Leading your way Home!
There is neither a specific answer nor one size fits all! There are plenty of considerations to review. First of all, your financial ability and market demands are some of the factors to survey before deciding if it’s wiser to find a new dream home or fix your current home.
Before considering renovating your existing home, take an inventory of your home’s physical current condition, and deal with contractors for renovation costs. Major home renovations bring stress, unexpected complications and budget overruns. Depending on the age of your current home, you may also have to jump through additional hoops to meet newer building code requirements.
Purchasing a new home could actually cost you less monthly than renovating your home depending on its age, and types of renovations you’re considering. If you intend on financing renovation costs, find out how much you will be adding to your existing mortgage, home equity loan or line of credit versus obtaining a new home mortgage.
Keep in mind that even if you renovate your older home, in a future buyer’s eyes, it’s still an older home. It is a good idea to have a sense of the market activity in your neighborhood to consider trading up or renovating your current home. The main purpose of home renovations is primarily to increase your home’s enjoyment. While you may be able to recoup some or most of the costs during the home’s sale, there are no guarantees.