Did you know that according to MarketWatch, it’s cheaper to buy a home than rent an apartment in 98 of 100 metro areas? This is also true for Salt Lake--your average one-bedroom apartment is cheaper to buy than to rent. In fact, it’s currently 43% cheaper to buy right now! Given that economic reality, it makes little to no sense to give away your money to landlord as opposed to getting your own place and building equity.
While taking out a loan and putting together a down payment can be scary, it’s important to note that there are many first time buyer options out there that can decrease the amount you have to put down and make competitive APR offers, meaning a lower monthly mortgage than you might think. Further, Millennials have proven to generally be very responsible with their credit, but have weak equity.
This is probably the biggest myth that persists in the mortgage industry. You don’t have to put 20% down in order to get a house, despite what everyone might try to tell you.
There are a variety of low down payment options available. Well-qualified buyers might be able to put down as little as 1%. If that doesn’t work for you, you can still get a home for as little as 3% or 3.5%. In any case, the minimum down payment for a conventional loan should be no more than 5%.
We get it-the process can be intimidating. That’s why we have real estate gurus are well-versed in financing options and working with first time buyers. We’re here to have your back. We believe in real estate as an asset and are ready to help you out.