Shopping for a starter home, rather than for your forever home? The considerations for what to look for in a starter home differ from those when you are shopping for a home you plan to stay in for a long time. The starter home is first and foremost an investment.
Since you will likely only be in your starter home for a few years, it does not make sense to try and purchase a home that includes everything your heart desires. You need to focus on basic, practical needs and your financial goals. Here is what to look for in a starter home.
- Convenience. Let’s say you are looking at two homes of equal cost. One is an hour away from your job, while the other is a mile away. Even if you prefer the house an hour away, it may be wise to buy the one that is a mile from your job. Saving two hours a day of driving and all that gas can really add up. If you are going to compromise on commute, it makes more sense to do it when you’re picking a home you will be living in for a long time and have a reason to get attached to and make sacrifices for.
- Sufficient space. If you plan to have kids before you leave the home, ensure there are enough rooms for them. The same goes if you plan to hack your mortgage by renting out a room.
- Safe neighborhood. You do not need to live in a posh district in your starter house, but you also do not want to be mugged in the street. Buy a starter home in a safe neighborhood. If in doubt, drive around at night to see if it gives you a good impression.
- Not too rundown. Starter homes are often outdated, or even in need of repairs. That is what makes them so inexpensive on the market. An outdated look isn’t necessarily a big deal for a house you’ll be moving out of in a few years. But you do not want to get saddled with more repairs than you can handle. If you can find a good deal on a home that needs relatively inexpensive minor updates or repairs, however, and you are willing to do them, that could give the home’s value a nice jump before you sell in the future.
- In an area likely to increase in value. Speaking of value increasing, pay attention to factors that could affect home values in the neighborhood. For instance, if a shopping center or other exciting feature is being constructed, that could lead to your home’s value going up over the next few years.
Buy Your Starter Home
McGowan Mortgages can help you buy a starter home in Missouri or 40 other states. We make the mortgage process quick and simple, and connect you with an affordable home loan. To get started, please give us a call at (816) 631-9687.
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