According to Statista, "Approximately 82 percent of Americans aged 22 to 30 who bought a home were first-home buyers, whereas only just under half of the homebuyers between 31 and 40 bought their first home in that year." This means, unsurprisingly, most first-time homebuyers tend to be in the beginning stages of a budding career, taking higher-education courses, and trying to keep up with student loan payments.
Gen Z and Millenials have so much to juggle already, purchasing a house can feel like another stressor — but a little education about what it's really like to buy a house can simplify the process.
Take Advantage of First-Time Homebuyer Benefits
Buying a home as a first-time homebuyer can be nerve-wracking, but your "first-time" status unlocks several perks. First-time homebuyers are eligible for loan programs, tax breaks, and assistance programs that are created to increase homeownership accessibility. You might even still qualify for first-time homebuyer programs, even if you've owned a home before. Don't neglect options created to help you on your journey to homeownership. Know your options.
First-Time Homeowner Loan & Assistance Programs
- FHA Loans - An FHA loan is a government-backed mortgage that is guaranteed by the Federal Housing Administration, but issued by private lenders. It's hands down the most popular loan option for first-time homebuyers since they have low down payment and credit requirements.
- USDA Loans - USDA loans are mortgage loans backed by the U.S. Department of Agriculture that make housing affordable in rural areas. Since they're government-backed loans, they can provide lower interest rates. On top of low-interest rates, borrowers don't have to pay a cent towards the down payment.
- Good Neighbor Next Door - The Good Neighbor Next Door Program was created by The U.S. Department of Housing and Urban Development (HUD) to strengthen communities by offering teachers, law enforcement, firefighters, and EMT's the ability to purchase homes at a reduced rate. Purchase HUD homes for 50 percent off the list price with a low down payment of $100.
There are several first-time buyer programs to choose from. Do your research to track down the option that fits your needs.
Address Your Financial Health
Review Your Credit. Even though the average credit score for homebuyers in America is 731, most people can qualify for conventional loans with a credit score of at least 620. But, a lackluster credit score doesn't kill your homeowner dreams. You can still buy a home with bad credit if you know your available options.
Calculate Your Expenses. Mortgage payments can take up a good portion of your expenses, but living expenses can as well. It's hard to narrow down your list of potential homes when you don't know what you can afford long-term. Before looking for a home, sit down and calculate your living expenses. This can include an estimation of monthly car payments, student debt payments, entertainment expenses, retirement savings, and other regular commitments.
Check Your Current Savings. If you have savings tucked away, that still might not be enough since you have to consider upfront costs, long-term and closing costs. Trust and believe, you don't want money getting in the way of landing the perfect home and keeping that home in the long-term.
- Do you have enough savings to cover your down payment? If you're not financing your home using a program that eliminates a down payment, then it's important to know what you're expected to pay upfront when purchasing a house. Make your life easier and use a down payment calculator to estimate your potential costs, so you have the money prepared when you're ready to buy your brand new home.
- When purchasing a home, you have to consider if you can afford the home in the future as well. It's smart to have an emergency savings account that can cover at least 3 to 6 months of living expenses on top of savings that are specifically for the costs that come with purchasing a home.
Find A Home & Make An Offer
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Once you have your finances figured out, it's time to start searching for a fabulous home with all of the features you've envisioned in your head. The entire process of searching for a home can be overwhelming, which is why it will make your life a whole lot easier to hire a local real estate agent. And, homebuyers on the lookout can scour online listings or take a drive through your desired neighborhood to see if any homes are for sale.
When you've finally found a house that you'd like to call home, the only thing left to do is make an offer. If you choose to work with a real estate agent, your agent will help you to decide how much money to offer the seller in exchange for the home and any other conditions you want to put on the table. The real estate agent will present your offer and conditions to the seller's agent who will accept your offer or propose a counteroffer.
As the buyer, you can accept their offer or present your own counteroffer, and this process can continue until an agreement is made. Or, until one of the parties decides to opt out of the negotiation process.
Close On The Home
If you get to this point, congrats! It's time to sign your name on the dotted line on several documents and cross your fingers that the deal doesn't fall through the cracks. This is the time to focus on closing costs which can include purchasing home insurance, getting a home appraisal, and any extra fees.
In 2020, the homeownership rate amounted to a striking 65.85 percent! Who knows, after exploring your first-time homebuyer programs, addressing your financial health, and finding your dream home, you could be a part of that large chunk of American homeowners.
You're armed with the tools to start your search for a home fit for a queen like yourself, so there's nothing between you and your homeownership goals now. Happy house hunting!
Featured image by kate_sept2004/Getty Images
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Aaliyah Sydonie Williams is a lover of pomegranates, intimate concerts, fluffy socks and all things R&B. She's a founder of a college advice blog, Her Little Corner, where she dishes helpful advice for college students to slay their college experience. When Aaliyah isn't eating at Starbucks, she's studying for her courses in finance, discovering new spots in the city, and brushing up on her photography skills. Keep up with her at Aaliyah Williams (@aaliyahsydonie).
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Everything Kerry Washington Has Said About Her Husband Nnamdi Asomugha
Actress Kerry Washington and her relationship with her husband, actor Nnamdi Asomugha, is the perfect example of a winning team.
The pair became an item following a chance encounter in 2009, and many years later, on June 24, 2013, Washington and Asomugha would secretly tie the knot. Since then, the high-profile couple has expanded their blended family by welcoming two children, a daughter Isabelle Asomugha, 8, and a 6-year-old son Caleb Asomugha. Asomugha also has a daughter from a previous relationship.
Despite Washington and Asomugha choosing to live a relatively private life for the most part by not sharing images of their family on social media and occasionally attending events together. The rare glimpses they provide to the public showcase that Washington and Asomugha have much in common regarding essential topics.
For example, Washington is highly involved in politics and encourages others to participate by spreading information about various issues and how everyone would be affected.
As for Asomugha, the 41-year-old officially founded the Asomugha Foundation in 2010, years after doing other charity work in Nigeria. According to its site, the organization was created to help "disadvantaged youth and women by providing educational opportunities and mentorship."
Washington's public remarks regarding her relationship with Asomugha and their family may be rare, but when she does speak about their family, it's all positive.
Kerry On Why She Keeps Her Relationship Private
Photo by Bryan Bedder/Getty Images for Bronx Children's Museum
In March 2016, the UnPrisioned actress revealed during a discussion panel at SXSW Festival that one of the reasons why she is adamant about remaining private about her union with Asomugha is because she doesn't want the public to make any narratives regarding her marriage.
At the time, it was reported that Washington and the former NFL player were experiencing marital troubles and were allegedly planning on getting a divorce. Washington would shut down those allegations by saying she hasn't and will not share any information about her private life.
"Social media has actually been great for [other celebrities'] relationships with the weeklies or the gossip sites because people say things and they say, 'That's not true!' So I'm thinking in some ways, it's been great because people are able to maintain their voice," she explained.
"It's a little different for me because I don't talk about my personal life. That means not only did I not tell you when I was getting married, it also means if somebody has rumors about what's going on in my marriage, I don't refute them, because I don't talk about my personal life."
Kerry On How She Met Nnamdi And What A Normal Day Looks Like for Their Family
Fast forward to October 2018, the Scandal star gave insight into how she met Asomugha and their family life. During an interview with Marie Claire, Washington shared that she and Asomugha met in 2009 while she was working on the Broadway play Race.
The mother of two told the publication that her life has "completely transformed" since their encounter. "The last time I did theater, it completely transformed my life. That's where I met my husband. I love being with my family. My days off look like homework, reading, and watching stuff. Just hanging out, doing things we love to do," she stated.
Kerry On Nnamdi's Accomplishment
Photo by Jeffrey Camarati/Getty Images
But as time progressed, Washington began speaking a little more openly about her man. In October 2022, Washington gushed over Asomugha and his Netflix project, The Good Nurse, which came out around the same time her film, The School for Good and Evil, was released. While talking to Entertainment Tonight, the star expressed how "proud" she was of her husband.
"I'm really proud of him, I think he's doing amazing work. I'm really excited for his film, The Good Nurse," she said. "It's really exciting to both have really important films at Netflix right now, we feel really blessed.”
Kerry On Why Nnamdi Is Her Soulmate
Washington shared how her love with Asomugha goes beyond the surface after spending over a decade together.
In a March 2023 interview with Marie Claire, Washington explained that she and Asomugha are perfectly aligned because she's allowed to be her authentic self with him.
"I'm in my immediate truth with [him]," Washington said. "Those mirrors are important because they help me get back to myself."
Kerry On The Couple's Upcoming 10-Year Wedding Anniversary
Photo by Bruce Glikas/Getty Images
That same month, Washington expressed that in addition to the many years the couple has been together, and their personal and professional accomplishments, she still finds Asomugha "incredible."
Washington shared this revelation while promoting her latest project, UnPrisioned, in an Entertainment Tonight interview.
"I do have an incredible husband," the actress told ET host Kevin Frazier as she disclosed little to no details about their upcoming plans for their tenth wedding anniversary. "Do you remember how secret my wedding was? How private and secretive it was? That's how the anniversary is gonna be too!"
Kerry On Why She Thinks Nnamdi And Their Children Are A Gift From God
Washington's love and admiration for Asomugha and their family grow increasingly each day, so much so that she uses it as inspiration to share positive messages with her fans.
The 46-year-old revealed during a panel with Al Sharpton at National Action Network Convention on April 12 that she sees her husband and their children as "proof" that God exists and loves her because of the great joy they bring to her life.
"Well, you've met my husband, my husband's amazing. I got a good one. We have three beautiful children. And I think, you know, when I look at my marriage, and I look at my kids, fundamentally, they are proof of God to me,” she said. "Because I know that God loves me to have put those people in my life. And that sense of like, knowing that God loves me. That, to me, is so much of how I make the decisions about the activism that I do and the content that I make."
Regardless of what the public may think about Washington and Asomugha's private union, they are proving with each moment that love can conquer all.
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