Buying a first home is likely to be one of the most significant and expensive financial decisions of a person's life, which could explain why the typical first-time homebuyer in the US is 32 years old. In the US, it is legal to purchase a home without a co-signer at the age of majority, which is 18 years old in most states. Reaching the age of majority allows individuals to sign legal agreements and complete real estate transactions. Before reaching the age of majority, people can buy a home with the help of a co-signer.
Although buying a house for the first time is an important decision, there is no perfect age to do so. When it comes to taking the plunge, it's more about individual preparation. One advantage of buying young is that you can set the current value of your home early and then observe how it appreciates over time. First Bank can help you decide if the time is right to buy, providing you with expert financial guidance and a wide variety of competitive mortgage options, including conventional and government loans.
You only need to determine your readiness to begin the homebuying process based on your individual financial situation and the current housing market, regardless of your age. When you buy a home, you're actually investing in your future, which could get you a good tax break for the mortgage interest you pay (be sure to talk to your tax professional to confirm the benefits you may be entitled to). It appears that this assessment is likely accurate, as housing shortages are driven by those with money buying investment properties, which could have been for first-time homebuyers. Buying a home can benefit you at any age, young or old, as long as the conditions are right.
While the average age of first-time homebuyers increased in a year, the increase reflects a number of difficulties Americans face when looking for a home. However, some loans allow you to buy with a small down payment, making it easy to buy at a young age. While there's no “right age”, there are trade-offs between buying when you're a young adult and waiting until you're older. The age at which you can legally buy a property is essentially less important than other signs that you are ready to buy.
The bottom line is that those who bought homes before age 25 got the most benefit from their housing investment. There's no “right age” to buy a home, but it's wise to assess where you are in life when deciding whether to buy or not.
