Tips for Younger KC Homebuyers: How To Make Your Dream a Reality

Are you part of a younger generation and wondering if homeownership is in the cards for your future? There's no arguing that today's housing market is a challenge for many first-time homebuyers. With inflation, rising home prices, current mortgage rates, and other real estate factors seemingly stacked against you, buying your first Kansas City home can feel like an impossible dream.

The good news? Owning a home in the Kansas City area is still achievable! The Just Say Home KC real estate team offers some practical tips below on how to make your homeownership dream a reality.

Explore Your Options for a Down Payment

For many young homebuyers, a down payment is their number one hurdle. If you are among them, there are several options you can explore to boost your savings. Over 2,000 national down payment assistance programs exist that are specifically designed to make homeownership more achievable, but this is not the only place you can get financial support. While it may not be an option for everyone, LendingTree reports that 49% of Gen Z homebuyers received money from loved ones to put toward a down payment.

Unless specified by your loan type or Kansas City lender, you often don't need to put 20% down. The Just Say Home agents can connect you with a trusted KC lender, help you understand your options, determine how much you need to save, and explain local guidelines for getting a monetary gift from loved ones.

Live with Loved Ones To Boost Your Savings

Many young homebuyers are ditching their rental and moving back in with friends or family to help reduce housing costs. This option allows you to build your savings a whole lot faster. As Bankrate explains:

". . . many have opted to stop renting and live with family in order to boost their savings. Thirty percent of Gen Z homebuyers move directly from their family member's home to a home of their own, according to NAR."

Cast a Broad Net for Your Search

Have you saved enough and are ready to begin your search for the perfect first home? Since the supply of Kansas City homes for sale is still low and affordability is tight, your JSH buyer's agent will offer strategies and avenues you may not have considered to open up your pool of options.

For example, it's usually more affordable to consider a rural or suburban area over an urban one. While the city may be livelier and more energetic, the cost of living may be reason enough to look at something further out. You can also give yourself even more ways to break into the KC housing market by considering smaller homes, condos, or townhouses. As Colby Stout, Research Analyst at Bright MLS, explains:

"Being flexible on the types of home (e.g., a condo or townhome versus a single-family home) and exploring more affordable neighborhoods is important for first-time buyers."

Take a Close Look at Your Wants and Needs

The Just Say Home agents have the real estate expertise to help you sort and prioritize your "must-have's" and "nice-to-have's." Remember, your first home doesn't have to be your forever home, but it will get your foot in the door to start building home equity. Making some compromises is often worth it in the long run for first-time homebuyers. As Chase says:

"An open-minded approach to house-hunting may be one way for Gen Z homebuyers to maintain some edge. This could mean buying in areas that are less expensive. Differentiating needs vs. wants may help in this area as well."

The JSH buyer's agents will help you prioritize your list of home features and find houses in the Kansas City area that can deliver on the most meaningful ones. Want to understand more about how home equity can benefit you in the long run? Connect with a Just Say Home real estate expert to learn how your first home can open opportunities for you to move into your dream home in the future.

Bottom Line

As Directors Mortgage puts it, "The path to homeownership may not be a straightforward one for Gen Z, but it's undoubtedly within reach." Connect with the Just Say Home KC real estate professionals today to see what strategies and financial assistance are working for many first-time Kansas City homebuyers. You can lean on these KC housing market experts for tips and advice on your journey to homeownership.

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