By Melanie Robitaille, Sr. Staff Writer and Graphic Designer
Even if you save as much as you can, it might still not be enough for a home, and you may still not qualify for the many homeownership funding programs that we’ve discussed in our series. But don’t close the door on your homeownership dreams just yet. In this, our final installment of the series, you’ll learn about other options to purchase in today’s market.
Rethinking Your Locale
Cooler heads and market areas might prevail when trying to get a foothold in the housing market right now. Yes, you’ve had your heart set on that neighborhood or city, but this might be the time you start to think outside the state or province. And in that case, here are a few things to consider:
- You MUST experience the new area first to really compare the unique differences that flavor a community
- Ask yourself if this new place takes you too far from friends, loved ones, or needed support systems
- Get clear on your employment situation and what the job market looks like in this new area
- Think about and get a good understanding of what it’s like to handle a purchase and move from a distance
- Make a realistic list of the pros and cons of where you see yourself living and for this new market
There’s lowering expectations to find a better price, and then there’s going well beyond your comfort zone. If you haven’t looked at any other markets yet, get a better idea of which areas are hot spots and where people are making their moves with the National Association of REALTORS®’ (NAR) Migration Trends Report.
Co-habitation and Ownership
For many, co-habitation seems to be viable option. While everyone values their own space, necessities such as mounting student debt, increased rental costs, and the needs of aging parents have many families, even friends, pooling their resources and sticking together. NAR’s® 2022 Home Buyers and Sellers Generational Trends Report cited “Eleven percent of home buyers purchased a multigenerational home to take care of and spend time with aging parents, because children over the age of 18 were moving back, and for cost savings. Fifteen percent of Gen Xers purchased a multigenerational home. Younger Baby Boomers comprised the second largest share at 14 percent.” If this sounds interesting to you, here are a few vital points:
- Take care when deciding with whom to enter into a co-ownership arrangement
- Ensure all parties are on the same page when it comes to the intent and use of the property
- Choose a property as closely geared toward the needs agreed upon
- Put the agreement in writing with a lawyer, ensuring you’re clear on exiting clauses
Many of the youngest homebuyers looking to enter the housing market are flirting with this concept, so much so that a new match-up app has appeared in the Toronto market where this has become a popular trend. Doing your due diligence cannot be stressed enough as the Chartered Professional Accountants of Canada warn in their recent article Buying a Home with a Friend? Read This First, which reminds that even with a professional, legal document in place, “it’s your ongoing relationship with the other parties that will ultimately determine the success of your co-ownership arrangement.”
It certainly hasn’t been the easiest market to navigate, but with the help of a knowledgeable real estate professional you’ll find your way. So, whether you have questions about your options, or just want to learn more about a real estate market, find an EXIT Realty office or agent near you today.
This article is for informational purposes only. Not intended to replace or substitute any professional financial, real estate, investment, technology, or other advice. EXIT Realty Corp. International makes no representations or warranties and expressly disclaims any and all liability concerning any action by any person following the info offered or provided within this article. If you have specific concerns or questions, you should consult with an appropriately trained and qualified specialist.