There is an understanding that to buy an LA home can become quite challenging, something that many would have to agree with once planning their home-purchase in the area. They would also need to understand the budget would have to reach around 5000,000$ to get the home they would want to purchase.
For many, they would be able to save about 25,000$ if they plan to apply for home loans, which really won’t hit a 20% down mark in most cases.
Other financial factors should be considered. Doubling on rent payments for those that rented the house along with its mortgage. Then there are the fees on utilities, which can be hefty depending on the house and its space. For many buyers, these are things that need to be taken into consideration when purchasing and handling their budget.
According to Leighann Miko, a real estate agent in the area, this isn’t the common behavior for many home buyers, especially from the Millennial generation. Compared to the more older buyers, the difference between the two is that there is a means of a disconnection between the reality of the costs and the assumed costs that many lean themselves towards.
Miko also says that the expenses themselves would be rather insignificant when the utility fees double or even sometimes triple the original amount to pay.
Another thing that many Millennial home-buyers should take note is that by saving in down payments could make the difference, as Miko suggests. Though Millennials can earn decent pay in their occupations and can hold their mortgages. However, with high prices, saving up for down payments can be quite difficult for them.
Rana Khanjani, MBA
San Fernando Valley Iranian-American Real Estate Agent
Providing Services in English and Farsi
Address: 22020 Clarendon St. 200, Woodland Hills, CA 91367