Owning a home has always been synonymous with the American dream. However, many potential homebuyers feel that it is drifting further and further from their grasp.
In Providence, mortgage applications have begun to rise. 80% of millennials are saying that their biggest obstacle to obtaining home ownership is the cost that is involved. Being able to afford a house is the only thing holding them back from achieving their dream.
Home ownership is important for many reasons. Among these reasons is the fact that home ownership is considered a financial investment, builds equity and is one of the fastest ways to build financial net worth.
Home ownership provides financial stability and security and is more financially sound than paying rent. Paying for a home is an investment in something tangible that you can borrow from later.
When you pay rent, that money is to the benefit of the property owner. Owning a home, in several ways, can be more affordable than paying rent when you stop and consider the bigger picture.
Home ownership also rewards the homeowners with pride of ownership and even more personal freedom.
Challenges Facing Potential Homeowners
As mentioned before, one of the biggest difficulties and obstacles that are facing the potential homeowner is the lack of funds and affordability. With the higher prices people are paying for rent, it is making it harder for people to save money to use towards purchasing a home. Instead, the money they could be saving is going to pay a higher rental amount each month.
Another obstacle would be frequent job changes, and the lack of good credit are also stopping them from making a financial investment and buying a home.
Hope for Potential Homeowners
Providence is fast becoming a city in which many young professionals are moving and achieving their dreams. Providence has also recently been named one of the top ten cities for young professionals.
This news can provide a glimmer of hope for the younger couples that are looking to buy a home and settle down, rather than continue to move around and pay rent.
Providence has a lower cost of living than other north eastern cities and increasingly more career opportunities making it a feasible option for young professionals who are looking to achieve their dream of a steady job and home ownership.
If you are facing a high desire for home ownership but think it is just beyond your reach, then you should consider Providence as your next destination. While most Millennials that were surveyed said they might wait for five years before purchasing a home to save the money for the down payment, the Mortgage Bankers Association said that a hungry buyer now fuels the market.
With the rise of mortgage applications, we see an increase in confidence. Home ownership does not just have to be a dream; it can quickly become a reality if that is truly an obstacle you are willing to overcome and achieve.