Friday, September 30, 2022 / by Laura Larson
Finding a home that suited their wants and budget has been difficult for many buyers in recent years due to the extremely low inventory. If you're in a similar situation, you should be aware that the recent changes in the property market might have made it possible for you to relaunch your search.
This year, there are more houses on the market, which is providing purchasers with much-needed options. Chief Economist Danielle Hale, says: “...For every 4 properties that were available to them at this time last year, buyers today have more than 5 to choose from."
However, perspective is crucial. Overall, there are very few homes available. Expanding your search to include various dwelling types, such as condominiums, may be helpful if you still need more options.
Investigating condominiums may provide options that fit your budget.
One thing to keep in mind is that condos typically have different average sizes and floor plans than single-family residences. But this size disparity is one reason condos can be a more cost-effective choice. Condo buyers spent around 7% less on their houses than buyers of other housing types last year, according to recent research. Given growing mortgage rates and housing prices, a condo's relative affordability can be something to take into account.
You don't have to make your first house your everlasting home, keep that in mind. The most crucial thing is to establish yourself as a homeowner. Purchasing a condo now could pave the way for a larger home in the future. According to a report by the Urban Institute: "Condos and co-ops tend to assist first-time homebuyers in climbing the first rung of the property ladder because they are typically cheaper. These buyers frequently buy a bigger single-family house using the condo's equity."
To put it in a different way, purchasing a condo will enable you to begin accumulating wealth in the form of home equity. If you decide in the future that you want to buy a home with larger space or other amenities, the equity you develop over time can help finance that purchase.
Condo Living Offers Several Fantastic Benefits
Condos provide various advantages, including expanding the range of possibilities available to you within your budget throughout your home hunt.
First of all, they typically require less care and upkeep, which might free up more time for you to spend doing the things you enjoy. This is highlighted in a recent Bankrate post, which reads: "For someone who wishes to reduce home maintenance to a minimum, condos can be an excellent option...You are not responsible if the carpet in the lobby has to be replaced or the roof is leaking; the condo association is in charge of those tasks."
Additionally, as many condominiums are found in or adjacent to city centers, they have the extra benefit of being nearby to places of employment and recreation. In the end, choosing to own and reside in a condo can be a lifestyle decision. And if you find that appealing, condos might provide you with the extra options you require to purchase your first home.