Why Waiting Isn’t the Answer: Start Planning Your Way to Homeownership

The average age of first-time homebuyers is now 38, a stark contrast to earlier generations. Rising home prices, higher living costs, and other financial hurdles have made homeownership feel unattainable for many. It’s easy to feel discouraged and believe that owning a home is impossible, but here’s the truth: with planning, creativity, and the right resources, you can chart your path to homeownership.

This post isn’t about downplaying the challenges. Instead, about reframing your perspective and offering actionable steps to help you see that homeownership, though different than it was for previous generations, remains within reach.

Understanding the Shift

It’s no secret that the path to homeownership has changed over the years. Here’s a look at some of the key reasons why:

Housing Costs Have Outpaced Wages: Homes cost significantly more relative to income than they did 20 or 30 years ago. This has made saving for a down payment and qualifying for a mortgage more difficult.
Student Loan Debt: Many millennials and Gen Z buyers are carrying unprecedented levels of student debt, making it harder to save for homeownership.
Delayed Milestones: People are getting married later, having children later, and staying in school longer—factors that historically coincided with buying a home.
Rising Rent Costs: With rents skyrocketing, it’s tough to save for a down payment while managing day-to-day expenses.

But these factors, while significant, don’t make homeownership impossible. They simply require a new approach—one rooted in careful planning and creative solutions.

Reframing the Conversation

The first step is shifting your mindset. Instead of thinking, “I’ll never own a home,” ask, “What steps can I take to make it possible?”

Here’s why this matters:

Homeownership Builds Wealth: Renting provides no equity or return on your payments, but owning a home allows you to build wealth over time as property values increase and you pay down your mortgage. I recently was told by an economist that roughly 40X more wealth for a homeowner than a renter in this current market.
It’s About Stability: Beyond financial benefits, homeownership creates a sense of stability. It’s yours—a place to put down roots and make your own.
Small Steps Add Up: You don’t have to leap into homeownership overnight. Each small action—saving, researching, or connecting with professionals—gets you closer to your goal.

Affordable Ways to Enter the Market

The real estate market might feel intimidating, but there are many ways to make your entry more affordable. Here are a few ideas:

Start Small:

Don’t let the dream of a perfect home keep you from starting small. Condos, townhomes, and even fixer-uppers can be excellent first properties that help you build equity and move toward your next home.
A smaller home often comes with lower upfront costs, property taxes, and maintenance expenses.

Focus on Location:

Explore up-and-coming neighborhoods that might not yet have reached their full potential. Look for areas with planned infrastructure improvements, new businesses, or proximity to public transportation.
If your work is flexible, consider markets outside the city core where homes are more affordable.

Take Advantage of New Zoning Laws:

Cities like Seattle are making it easier to add accessory dwelling units (ADUs) or detached accessory dwelling units (DADUs) on your property. These spaces can provide rental income to offset your mortgage costs.

First-Time Buyer Programs:

Many state and federal programs exist to help first-time buyers. Examples include low down payment loans (FHA, VA, or USDA), down payment assistance grants, and programs specifically designed to make homeownership more affordable.
Look into local options, as some cities and counties have their own programs for first-time buyers.

Get Creative:

Consider co-buying with family or friends to split costs and responsibilities.
House-hacking can be another great strategy: buy a property with a separate rental unit or extra bedrooms, and rent them out to help cover your mortgage.

Planning for Success

Homeownership may not happen overnight, but with careful planning, it’s within reach. Here’s how to prepare:

Set Savings Goals: Even small amounts saved consistently can grow into a down payment over time. Consider automating your savings or looking into high-yield savings accounts.
Build Your Credit: A strong credit score can significantly improve your mortgage options. Pay bills on time, reduce debt, and monitor your credit report for errors.
Understand Your Budget:
Talk to a lender to get pre-qualified and understand how much house you can afford. This will also help you identify how much to save for a down payment and closing costs.
Work with Experts: Partner with a real estate agent who specializes in helping first-time buyers. They can guide you through the process, help you identify opportunities, and connect you with trusted lenders and programs.

Buying your first home might feel daunting, but the key is to start planning now. The path to homeownership isn’t about instant gratification—it’s about taking small, purposeful steps toward your goal. Remember, owning a home isn’t just a financial decision; it’s a way to invest in your future, create stability, and build a place that’s truly yours.

If you’re ready to explore your options or simply have questions about where to begin, I’d love to help you take that first step. Let’s work together to turn “impossible” into possible. I am a licensed agent at Coldwell Banker Bain and am looking forward to helping you.

Rachel Jarvis

503-998-6406