Home buyers are constantly faced with a highly competitive market and this time around is no exception. The first-time home buyer will feel the pressure even before they start looking for houses!
In this article, we will explore the top reasons why first-time buyers are stressed. We hope that by reading about these issues and knowing what you can do to resolve them before your next purchase (or even while planning for it!), there is less stress in store.
With the cost of homes constantly increasing, it's more important than ever to start your search early and be prepared for any surprises that might come up. A new Rocket Mortgage survey revealed what prospective home buyers felt were their most enormous stresses during this process; saving enough money upfront was number one with 72%. The following two most common sources were paying off debt or adding another mortgage.
Prospective homeowners gave the top reason for putting off a purchase? High prices and debt-to handily two of three reasons! Interesting to see how different generations handle these circumstances.
The desire to avoid debt may be leading millennials away from the housing market. A recent study found that 47% of prospective buyers aged 30 and under listed "wanting a home with less than $100K in mortgage" as one reason for delaying purchases, which implies they are more concerned about finances than older generations.
Here are the main reasons why first-time buyers are nervous when buying a house:
1. The housing market is highly competitive
First-time home buyers are up against a lot of competition in today's market. With prices on the rise and inventory levels relatively low, buyers often feel pressure to act fast when they find a home they like. It can lead to hasty decision-making and regret later on down the road.
2. They don't have much experience
For many first-time home buyers, this will be their first foray into the world of real estate. This lack of experience can be stressful, as they may not know what to expect or how to navigate the process. It can lead to mistakes being made or necessary steps being overlooked.
3. They're worried about making the wrong decision
Since a home is such a big purchase, first-time buyers are often worried about making the wrong decision. They may be second-guessing themselves at every turn, and this can add a lot of unnecessary stress to the process.
4. They're worried about affording their dream home
In today's market, prices are rising, and inventory levels are low. This combination can make it difficult for first-time buyers to find a home that fits their budget. As a result, they may be forced to compromise on their dream home or stretch their finances further than they're comfortable with.
5. They're feeling the pressure from family and friends
Family and friends can add a lot of pressure to the home-buying process, especially if they're eager to help with the search. While their intentions may be good, this added pressure can make an already stressful situation even more overwhelming.
If you're a first-time home buyer feeling the stress of today's market, it's important to remember that you're not alone. There are plenty of other buyers in your situation, and there are ways to manage the stress. By being prepared, staying calm, and working with an experienced real estate professional, you can minimize the stress of buying your first home.
