June is Homeownership Month: Taking the Steps to Find and Purchase a Home
Liz Schneider, President, North Coast Building Industry Association
As the home building industry celebrates National Homeownership Month in June, new data from the National Association of Home Builders (NAHB) reveal that starting in 2019, a majority of senior (56 percent) and millennial (50 percent) buyers have moved beyond planning to purchase a home to actually starting the search process.
The NAHB Housing Trends Report reveals that millennials expect house hunting to become easier in the months ahead. The data dispel the misconception that millennials view home buying as a burdensome process. The national homeownership rate is on an upward trend, according to the U.S. Census Bureau. The number of U.S. households increased to 122.3 million in the first quarter of 2019, 1.5 million higher than a year ago.
The benefits of homeownership are numerous. For many, owning a home is a positive step in creating a source of net worth. Home equity, the difference between the market value of your home and the mortgage debt you owe on it, for U.S. home owners has risen this year. Building equity when the value of your home appreciates is one of the significant long-term financial benefits of homeownership.
Starting Your Home-Buying Process
Purchasing a home can be a daunting experience without research and planning. The first step is qualifying for a mortgage and saving up for a downpayment. To help aid in the process, Fannie Mae and Freddie Mac — through the Federal Housing Administration (FHA) — offer mortgage programs for first-time home buyers. The U.S. Department of Housing and Urban Development also offers free home-buying seminars.
Financing Your New Home
An important step in financing your home is selecting a lender and getting pre-approved for a loan. Some home builders offer financial incentives or can arrange favorable financing for their customers. When you know how much money you can borrow, this can help determine the price range that works for you. Lining up your financing will allow you to move quick if you are bidding on a house that has several interested buyers.
Prioritizing Home Features
Before starting your house hunt, it is important to outline the home features that matter the most to you and your family. Talk to the members of your household and make a list of the top preferences in your home. You should also discuss the size and floor plan that best fits the needs of your household. Another discussion point is the type of home that is suitable, such as a single-family home or condominium.
Starting Your Home Search
Once you have your financing lined up and know what type of home and features you want, you can begin your house hunt. You can start with a builder to buy a new home or find a real-estate agent to purchase an existing home. Websites such as Realtor.com, Redfin.com and Trulia.com have comprehensive lists of homes for sale with photos, maps and neighborhood features.
To learn more about the benefits of homeownership or to help you build a new home that is right for you, contact us.
The North Coast Building Industry Association is your local not-for-profit trade association representing member companies from accountants to window washers and those involved in all aspects of home building, remodeling, and other aspects of services available to help you in the future as well as more information on the above topic. So, you can see it is for your protection that you use a NCBIA member. If you are unsure that your contractor is a member of the NCBIA or you are looking for a list of NCBIA members, you can visit our website at ncbia.com or call 440-934-1090. We also have a job posting board (under the Industry tab).
Just Built! Our 24/7 Virtual Parade of Homes!!! Allows you to look at some of our builders’ new homes and communities on your mobile device or computer at your leisure. We know time is our greatest asset and via our NCBIA Virtual Parade of Homes, we save you time looking for a new home or a community that fits your lifestyle.
Like us or better yet share us on Facebook!
Homeownership is truly a cornerstone of the American way of life. The North Coast Building Industry Association is dedicated to the advancement of the building industry, its members, and the communities it serves. North Coast Building Industry – Come Build with Us!