I see many adult children who want to move out of their parents home and parents who want their kids out. However they don’t have a plan. They don’t set expectations and timelines and they make some or all of the 5 mistakes below. Here are 5 ways to never get our of your parents basement and have a home of your own.
1. Have no budget.
Without a written budget it’s easy to spend more than you make. A written budget will tell every dollar where to go. If you’re living in your parents basement evaluate your budget and look for ways to cut expenses and save money. Resources like Dave Ramsey and the Every Dollar App can help make this easier.
2. Insist On Buying A House.
There is nothing wrong with renting! It’s ok to rent. Renting can be cheaper than buying a home. You won’t have to worry about maintenance on the home and it’s a great way to get out of the house and move toward home ownership.
3. Get Loads Of Debt
If you have debt this affects your ability to rent or buy a home. The student loan problem is one example of this. Work on paying off your debt while you’re in your parents home. If you’re in college or plan on going to college pay for it in cash! Choose a school that’s closer to home and less expensive. Adding debt will not help you get out of your parents home.
4. Don’t Make Enough Money.
Renting or buying a home will be more expensive than living in your parents basement. If you’re working an entry level job or minimum wage job it will be hard to earn enough to move out. Consider other fields that will make you more money. Get a second job. Start a small business or side hustle.
5. Make Sure Your First Home Is Your Dream Home.
Your first home does not have to be your dream home. Your first home is a stepping stone toward your dream home. It’s better to buy or rent a small condo or house that you can afford rather than buying the most expensive house that you qualify for you. You’re first home can build equity to help you get to your dream home down the road.
Let me know your thoughts on this post and please share. Who do you know that is living in their parents basement or has adult children living in their house? Contact us now to let us help them. Matt
Grant money is now available in Atlantic City for first time home buyers. Grants are available from $10,000-$20,000. It’s a great time to buy a home in Atlantic County. And if you’re looking outside Atlantic City the Atlantic County Grant is also available now with up to $10,000 available. So here are some more details on the Atlantic City Grant program.
- Persons who have resided in the City of AC for the last 12 months.
- Persons who have not owned a home for the past 3 years.
- Persons with an acceptable credit history and ability to obtain an approved mortgage.
- Persons with incomes below 80% of the median family income. Please contact me for HUD income limits.
- Single family properties, condominiums in the city of Atlantic City. Exclude manufactured homes.
- Sale price cannot exceed $250,000.
- Property must meet all requirements for an approved mortgage.
- Property acquired must meet all state and local housing quality standards and code requirements. Any findings are to be corrected, reinspected and certified prior to settlement.
- The program will provide a maximum amount of $10,000 – $20,000 to eligible applicants to assist with down payment and closing costs, in accordance with the rules and regulations of the HOME Investment Partnership program.
If you think you would qualify for this program or know someone who could benefit from this. Please contact us immediately. Funds are available on a first come first serve basis and typically go quickly.
It’s back! The HomeSeeker Downpayment assistance program has funds available now to issue $10,000 grants to first time home buyers. These grants are only for the following counties: Atlantic, Burlington, Camden, Essex, Gloucester, Mercer, Passaic and Union.
HomeSeeker loans are only available to eligible homebuyers who obtain first mortgage financing through the New Jersey Housing and Mortgage Finance Agency’s (NJHMFA) Homeward Bound mortgage program. The $10,000 is forgivable after 5 years of owning the home. The home must be a primary residence.
If you would like to know if you qualify for the HomeSeeker grant I’ve arranged a free mortgage consultation with my preferred lender approved by the NJHMFA to fund the HomeSeeker loans. Contact me below for a free consultation. There are limited funds available on a first come first serve basis. Contact me now to see if you qualify.