Buying a house in your 30s can be a smart and strategic decision with numerous long-term benefits such as building equity and establishing roots. This pivotal stage of life often brings increased financial stability and career advancement, making it an opportune time to invest in homeownership. Here are some key indicators that people are ready to buy in their thirties!
By the time people hit their thirties, they are likely married and in a stable job that allows them to set aside more money each month in preparation for their mortgage down payment. While a 20 percent down payment is preferred to avoid private mortgage insurance or PMI, buyers can pursue other loan options that require lower down payments. For example, qualifying buyers can put down 3.5% for an FHA loan, and USDA and VA loans offer a no down payment option. Conventional loans, which aren’t backed by the government, offer low-down-payment options to first-time buyers as well, so the down payment hurdle might be lower than you think!
Your twenties and any higher education you pursued probably brought on a load of debt that you have been steadily chipping away at. This also means you have established and built credit over time, and hopefully, this translates into a strong credit score that will help you qualify for a mortgage. Need to figure where you stand with your credit score? Start by requesting it from annualcreditreport.com. It’s free to request once per year, and is the only site authorized by the Federal Trade Commission to provide free credit reports.
Once you entered the job market in your twenties, your primary focus is on your career which could mean moving around to accept new promotions or jobs with other companies. In other words, you have probably been around the block long enough to know what you are looking for in a long-term home and where you would like to settle down and raise a family.
Buying a house is a lot more than forking over a down payment and paying a mortgage. Utilities, insurance and general maintenance and upkeep all add more weight on the monthly budget. By waiting until you are more settled in your life and careers, you are more prepared for whatever home ownership might throw your way.