A volatile job market and high student debt have made many millennials reluctant to buy homes. But financial and real estate professionals are hopeful more young people will recognize that buying a home is one of the smartest financial decisions they can make.
“Your home is a physical asset that is more insulated from the national and global economy and less volatile than investing in stocks,” says A. Wade Douroux, President and CEO of Resource Financial Services.
We recently helped one smart millennial, Jessica Miles, who realized that, especially with today’s low interest rates, borrowing money to buy a place to live was a safe investment that would pay off for her in the long term.
She worked with Resource Financial Services’ mortgage banker Jennifer Bowie, who walked her through the steps of being a first-time homebuyer:
- Step One: The phone call
“Jennifer and I had our first meeting over the phone and she explained the home-buying process to me from start to finish. That initial phone call made all the difference in helping me understand what I was able to afford so I could begin my search,” explains Jessica.
- Step Two: Pre-Approval
Through Resource Financial Service’s quick and easy process, Jessica was able to get pre-qualified the same day she first spoke to Jennifer on the phone. “Jennifer sent over multiple sample loan payments so I could get an idea what my monthly expenses would be,” says Jessica. “She also sent me estimates of other home prices so I was able to get an idea of how my payments would change, depending on the home price.”
- Step Three: Finding her home
Jessica began her search for a fixer-upper in a good neighborhood. “I believe there is value in taking a home in a good area and bringing it back to its potential,” she says. (We told you she was smart.) She found a two bedroom, two-bath home with the amenities she wanted. As soon as it came on the market, she knew it was the home for her.
- Step Four: Making the offer
Unfortunately, the seller received a full-price offer the same day Jessica made her (lower) offer. Two weeks later she got a call – the initial offer had fallen through and the seller wanted to know if she was still interested. The home had been in his family for a very long time and he was excited that a single, first-time home-buyer loved the home as much as he did.
- Step Five: Closing the loan
Resource Financial Services mortgage banker Jennifer Bowie helped Jessica not only understand the process, but also know what to expect next. “Jessica was very diligent on getting necessary loan documents to us quickly, which helped contribute to her process going so smoothly,” says Jennifer. “We like to attend our closings too, so I was able to be there when Jessica officially became a homeowner, which is a proud and financially respectful step in achieving her financial dreams.”
“I look at buying a house as an investment instead of throwing my money away on rent,” says Jessica. “I think my generation sees buying a house as too much of a commitment, especially those who are single. When you own a home you are tied to a certain area or job and that can be scary.”
“Some people may think they need to find a spouse before they can make this kind of investment or they may be unaware they can afford to buy a house so they don’t consider it,” she says. “My career comes first and independence is important to me, so I’m thrilled to own my first home on my own.”
About Resource Financial Services
Resource Financial Services educates young and first-time homebuyers about the home-buying process, walking with you each step of the way. We offer quicker closings, same-day pre-approval and guaranteed lower rates.
If you’d like to take the first step to home ownership like Jessica did, call one of our mortgage bankers today at 877.797.4545 to learn more. We’re excited to help you find your home, find your loan and get cash back. Start searching for the home of your dreams online at rfsmortgage.com. Let us welcome you home to a better mortgage!