Millennials face financial struggles that other generations did not. Student loans bog down millennials with massive debt while they attempt to navigate often saturated work markets. Those who find employment and are wise with their investments can still set themselves up to own property while in their thirties — even in Florida’s high cost housing market.
The following tips can help:
- Know what you want. Take some time to research your ideal neighborhood. Know what properties go for and what type of sweat equity you are willing to commit to a potential project. Put together an estimated price to obtain your ideal property and start saving towards the goal. The median value of a home in the United States is $226,800, but the cost is higher in Florida. Zillow reports the average cost of residential property in Florida is $233,200 and is rising at an annual rate of about 1.8%.
- Know the game. Owning real estate means more than just owning a home, it means partaking in the investment game. The first step towards mastering the financial side of owning real estate is saving wisely. If you plan on purchasing a home in four years or less, consider putting the savings in a money market account or high yield savings plan. If aiming for five to seven years, stocks may be a wise option. It is also important to get to know the important things that impact the stability and growth of the cost of real estate like the importance of a good school district (regardless of having children) and local zoning regulations.
Purchasing real estate is of the largest financial transaction of an individual’s life. As a result, it is wise to take steps to protect your investment. An attorney experienced in real estate matters can review the contract and title history of the property and discuss any potential issues that could cause problems in the future.