Are You Paying As Much in Rent as You Would for a House Payment?
How Long Will it Take you to Save Your Down Payment?
In a recent study conducted by Builder.com, researchers determined that nationwide it would take “nearly eight years” for a first-time buyer to save enough for a down payment on their dream home.
Depending on where you live, median rents, incomes and home prices all vary. By determining the percentage a renter spends on housing in each state and the amount needed for a 10% down payment, they were able to establish how long (in years) it would take for an average resident to save.
According to the study, residents in South Dakota are able to save for a down payment the quickest in just under 3.5 years. Below is a map created using the data for each state:
What if you only needed to save 3%?
What if you were able to take advantage of one of the Freddie Mac or Fannie Mae 3% down programs? Suddenly saving for a down payment no longer takes 5 or 10 years, but becomes attainable in under two years in many states as shown in the map below.
So what if you became creative and enlisted the help of relatives? Did you know that relatives (each spouse) can gift each child $14,000 per year tax free. That goes a long way towards savings towards your down payment.
Bottom Line
Whether you have just started to save for a down payment, or have been for years, you may be closer to your dream home than you think! Meet with a local real estate professional who can help you evaluate your ability to buy today. Most of us have great mortgage banking resources for client assistance.
My goal is to be a Difference Maker for my clients. Whether buying or selling, I will negotiate the best terms for you and create a great Real Estate Experience’ that is stress free – everyone should ‘Love where you live.’ Let’s find you your Dream Home with great financing. If you don’t have a Realtor, I would be happy to connect you with a Realtor in your area to assist you. I am in Ft. Lauderdale, FL — and look forward to serving you. Connect with me at Debbie@DebbieWysocki.comwww.ISellBeachHouses.com
To check out homes in your area, TEXT DebbieRE at 40691
