Adulting 101: mastering the art of adulting can feel like navigating a side quest with zero instructions. Buying your first house? Buckle up, because it's a whole different level. But fear not, fellow Gen Z comrades, this guide will equip you with the knowledge to conquer the housing market without a side of existential dread.
Step 1: Budget Basics
Adulting lesson number one: adulting costs money. Before diving headfirst into online listings, figure out your financial situation. Download a budgeting app (we're all about leveraging tech, right?) and track your income and expenses for a few months. This helps you understand what you can realistically afford and avoid that post-purchase ramen noodle diet.
Step 2: Credit Check Cred
Your credit score is your financial reputation. The higher it is, the better interest rates you'll qualify for, saving you major cash in the long run. Check your credit report for any errors and work on improving your score if needed. Pro tip: paying bills on time and keeping your credit utilization low (don't max out those credit cards!) are your best bets.
Step 3: Squad Up: Find Your Team
Buying a house isn't a solo mission. You might want a real estate agent to navigate the complexities of the market, a lender to guide you through the mortgage process, and maybe even a lawyer to review contracts. Do your research, interview different professionals, and find individuals who understand your needs and vibe with your perspective. Talking to a lender early can help you understand your options and put you in the best position to start your search. Remember, you don’t have to use a realtor to find your dream home, and you can negotiate the rate they take in commission from the seller to make your offer more appealing.
Step 4: House Hunting Hustle
Gone are the days of flipping through endless physical newspapers. Utilize online tools like real estate websites and apps to search for houses based on your budget, location, and desired features. Don't be afraid to get creative – consider fixer-uppers if you're handy or explore up-and-coming neighborhoods that might offer more bang for your buck. Higa is a great place to explore off-market houses and expand your search pool beyond what is currently listed for sale. If you are flexible on timing, this could be a great way to find your perfect fit without the added urgency of only searching currently available inventory.
Step 5: Offer It Up, But Be Strategic
The housing market can be competitive, so be prepared to act fast and strategically when you find your dream place. Work with your agent to craft a competitive offer that considers the current market conditions, the property's value, and your budget limitations. Remember, negotiation is key – don't be afraid to advocate for yourself within your means, both with your agent and in your offer to buy.
Or, use Higa to share your interest in a house that is not currently listed and see if the owner might be interested in an off-market transaction that saves you both time and stress.
Bonus Tip: Homeownership IRL Isn't All Sunshine and Rainbows ️
Owning a house comes with unexpected expenses and maintenance needs. Set aside an emergency fund specifically for these situations. Remember, adulting isn't always glamorous, but with the right planning and resources, you can conquer homeownership and unlock a new level of #adultingachieved.
Remember, this is just a starting point. Buying your first home is a journey, not a destination. Stay informed, do your research, and leverage the power of technology and your community to navigate the process with confidence. Now go forth, fellow Gen Z homebuyers, and conquer that housing market! Or, feel free to sit it out awhile and wait to see if mortgage rates come down. See next post on Financial Considerations for Homeownership.
