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. 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. Many potential homebuyer’s believe that they’re not qualified or don’t have a big enough down payment when in fact they do. There are also loans that do not require a down payment.
Don’t get caught in the trap so many renters are currently in. If you are ready and willing to by a home, have a professional help you determine if you are eligible to get a mortgage. 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.