How we bought a home at 21 and 23!
It wasn’t easy, but it was worth it!
Do you hate feeling like the money you’re putting into your rental is just going down the drain? Do you want to make an investment that will reward you in the future? That’s how we felt too.
We rented our apartment the first two years we were married. And while we loved our first home together and loved being newlyweds, we knew that we had to start planning to make a big investment. But with rent prices and inflation, it was going to be hard to continue to rent AND save money for a house in a short amount of time.
So we decided we would move in with parents. They were so welcoming and supportive of us, it was honestly great. And we all got so much closer! But the year and one month we lived with them, we set HARDCORE saving goals. We also did a lot of side jobs to fund any of our “fun” money, that way it wasn’t affecting our savings. We used the side job money for savings too. And after a year of saving, we had enough for a down payment on a house.
Since we ended up going with a different type of loan (Rural development, see slide 3) we didn’t actually need a down payment at all. We still put half of it down on the house; and are using the other half for needs like utility deposits, large furniture items, and so on. Plus it’s a cushion for the next few months!
We are now prioritizing an emergency fund (ideally, this would be enough money for you to get by 3-6 months with no income). Emergency funds can also be used for other emergency situations like your Heat & Air going out (huge expense) or fixing damage on your roof. But it’s for emergencies.
Anyways, we are so happy in the new place and honestly can’t believe the provision of God. We are living in an answered prayer. And we are also so proud of ourselves for putting in the work.
#homeowner #financegoals #lemon8challenge #letschat #lemon8home @Lemon8 Home @Feature Guide @Lemon8 US
Buying a home at a young age can seem daunting, but with careful planning and community support, it’s achievable! Firstly, consider living with family or finding an affordable rental while you save. We focused on financial goals by setting strict budgets and minimizing fun spending for a year. Additionally, explore different loan options like Rural Development loans that may not require a hefty down payment. This flexibility allowed us to allocate funds for furniture and other essential costs post-purchase. Prioritizing an emergency fund is another crucial step; aim for enough to cover 3-6 months of living expenses. It’s wise to set aside savings not just for emergencies but also for unexpected expenses in homeownership, such as urgent repairs or utility costs. Remember, every small effort adds up and investing in property is typically a sound financial decision, particularly if you aim for a location that offers good value. With determination and a solid strategy, achieving your homeownership dreams at a young age is entirely possible!
Congratulations and thank you for the tips. I am 42 years old and the dream of owning a home seems so out of reach, but I hope the Lord will continue to work his magic in my life so I can do the same one day soon.