2020-07-28
Guidance and Support Are Key When Buying Your First Sarasota Home

Guidance and Support Are Key When Buying Your First Home | MyKCM

In June, the number of first-time homebuyers accounted for 35% of the existing homes sold, a trend that’s been building steadily throughout the year. According to the National Association of Realtors (NAR):

“The share of first-time buyers increased in March through June—right into the heart of the pandemic period and the surge in unemployment—and is now trending higher than the 29% to 32% average in past years since 2012.” (See graph below):

Guidance and Support Are Key When Buying Your First Home | MyKCM

Why the rise in first-time homebuying?

NAR continues to say:

“The major factor is, arguably, low mortgage rates. As of the week ended July 16, the 30-year fixed mortgage rate ped to 2.98%. With rates so low that are locked in under a 30-year mortgage, the typical mortgage payment, estimated at $1,036, has fallen below the median rent, at $1,045. For potential home buyers who were thinking of purchasing a home anyway before the pandemic outbreak and who are likely to remain employed, the low mortgage rate may be the clincher.”

Clearly, historically low mortgage rates are encouraging many to buy. With the average mortgage payment now estimated at a lower monthly cost than renting, it’s a great time for first-time homebuyers to enter the market. According to the Q2 2020 Housing Trends Report from the National Association of Homebuilders (NAHB):

“Eighty-four percent of Gen Z’s planning to buy a home are first timers, compared to 68% of Millennials, 52% of Gen X’s, and 21% of Boomers. Looking at results by region shows that over 60% of prospective buyers in the Northeast and South are buying a home for the first time. The share is above 55% in the Midwest and West.”

There are, however, challenges for first-time buyers. A recent survey conducted by NeighborWorks America also notes that understanding the homebuying process may be the most significant barrier for many hopeful homeowners:

“Homeownership is a particular challenge for many, despite high levels of interest. Americans believe there are many benefits to homeownership and half of non-owners will seek information about the process in the next few years...a large share of non-owners say the process is too challenging and only a minority know where to find advice if they wanted it. And although many would seek the guidance of community and non-profit programs, only one in three non-owners are aware of such services.”

Guidance and Support Are Key When Buying Your First Home | MyKCMIf you’re among the first-time homebuyers who feel the process is complicated, you’re not alone. If you’re not sure where to begin or you simply want help in figuring out how to save for a home, finding a trusted real estate advisor to work with is a critical step toward your success. A real estate professional can help you understand the process, review your current situation, and guide you with a plan to help you to feel confident when buying a home.

Bottom Line

If you’re interested in purchasing a home and need help getting started, let’s connect today so you can take advantage of the support available to guide you through each step of the way.

Welcome to our Blog!
2020-09-19
Is Now a Good Time to Move Sarasota?

2020-09-14
Two New Surveys Indicate Urban to Suburban Lean

2020-09-10
Sarasota Homebuyer Traffic Is on the Rise

2020-09-09
The Latest Unemployment Rate Fell to 8.4%

2020-09-08
Have You Ever Seen a Housing Market Like This?

2020-09-04
FSBO Millionaires Use Real Estate Agents

2020-09-03
Sarasota Homebuyer Demand Is Far Above Last Year’s Pace

2020-09-02
How Will the Presidential Election Impact Sarasota Real Estate?

2020-09-01
It’s Not Just About the Price of the Home

2020-08-31
Three Ways to Win in a Sarasota Home Buying Bidding War

2020-08-27
Why Is It so Important to Be Pre-Approved in the Homebuying Process?

2020-08-27
Here’s how to know if you’re ready to sell your Sarasota home!

2020-08-26
July 2020 Sarasota Housing Report

2020-08-26
Should You Buy an Existing Sarasota Home or New Sarasota Construction?

2020-08-25
Builders & Realtors Agree: Sarasota Real Estate Is Back

2020-08-24
The Top Reasons People Are Moving This Year

2020-08-21
How the Sarasota Housing Market Benefits with Uncertainty in the World

2020-08-21
Fix It Up Friday

2020-08-20
Forbearance Numbers Are Lower than Expected

2020-08-19
Just How Strong Is the Sarasota Housing Recovery?

2020-08-18
Sellers Are Returning to the Sarasota Housing Market

2020-08-18
Let It Go! 8 Seller Beliefs That No Longer Hold True Today!

2020-08-17
The Beginning of an Economic Recovery

2020-08-14
Florida's Single Family For-Sale Inventory Hits Record Low in 2Q

2020-08-13
Sarasota Homes Are More Affordable Right Now Than They Have Been in Years

Click here to see ALL articles.




Comment on this Article

Your Name:
Your Email:
Comments:
Verify:  Please enter the numbers shown to help eliminate spam.