According to the National Association of Realtors statistics the affordability of the nation’s rental inventory is currently much worse than affordability of the country’s home sale inventory. Â Their reports show two things:
- Nationally, renters paid 29.5% of their income to rent.
- Home owners pay 15.3% of their incomes to a mortgage on the typical home.
Don’t Become Trapped
If you are currently renting, you could get caught up in a cycle where increasing rents continue to make it impossible for you to save for a necessary down payment.
Know Your Options
Perhaps you already have saved enough to buy your first home. Â Many potential homebuyer’s believe that they’re not qualified or don’t have a big enough down payment when in fact they do. Â There are also loans that do not require a down payment.
Bottom Line
Don’t get caught in the trap so many renters are currently in. Â If you are ready and willing to by a home, have a professional help you determine if you are eligible to get a mortgage. Â There are many down payment assistance grants available. Your mortgage professional will be able to see if you qualify for the grants offered in your area.