Millennial home buyers: How to avoid buyer's remorse

Across America, 40% of millennials who have recently bought a home now feel unhappy about their purchase. Here are 4 of the most common reasons for the discontent, and 4 ways to help ensure you won't feel the buyers remorse.

Reason 1: A third of those unhappy buyers were forced to tap into savings or retirement accounts to put together enough cash for their down payments

Solution: I often have a habit of putting my mind towards something and not stopping until I achieve it. While that can be great for some goals, it's not always the best practice. If you have a goal of home ownership but you are really stretching yourself financially it may be wise to reevaluate your plan. If you are able, look into borrowing some of that down payment money from a family member. If that is not an option, maybe you need to wait one more year before you're ready to buy. Set up a budget to save a few hundred dollars a month so this time next year you might have that extra few thousand dollars needed for a comfortable downpayment instead of spending what you initially planned to save for your future.

Reason 2: Many of the homes bought by unhappy buyers were filled with defects found only after closing.
Solution: Get an inspection from a highly recommended home inspector. Ask your agent for several recommendations and take time to read reviews online. Stay away from an inspector recommended by the listing agent as they may not have your best interest at heart and may be more inclined to tell you everything looks just fine.

Reason 3: Unexpected maintenance and upkeep.
Solution: Budget for your monthly expenses beyond PITI(Principal, interest, taxes, and insurance) What will utilities cost? Do you have a pool or yard to maintain? Prepare and expect for things to wear out overtime. Even if the inspector says your AC unit is running fine, if it is 15 years old understand it's time is coming to an end! If you purchase a condo or townhome your monthly HOA payment should cover most of your exterior upkeep but make sure you and your agent review what is and is not included in your HOA fee.

Reason 4: They didn't buy the right fit.
Solution: In a market which entry level homes can receive multiple offers in days, there can be the pressure to jump on the next available home after perviously missing out on one. Make sure you and your agent know exactly what you want and don’t settle for something you know isn’t it. When you see the new listing that checks all of the boxes, be confident and jump on it!

As an added guide, use this graphic as a general aid for the shelf-life of certain items in a home.