Helping Our Daughter Shop For a Mortgage

Not that we potentially won’t make bigger investments in our lives. But you do have to admit, buying a home is huge. My daughter has been terrified of buying her own home and has made every excuse possible till now not to do it. Also I would like to recommend John Moel to anybody in KY or Indiana that’s looking for home loans.

Yes I helped my daughter shop her mortgage to death and we ended up using John from Broker House because he was neat and polite and he worked his but off and my daughter got a great rate on her home loan.

But lets get back to these kids and how to get them out of the nest.

Owning a home is part of the classic American dream. However, many young adults are reluctant to take the plunge and leave the confines of home, or an apartment. The common excuses people give for not buying a house often do not mesh with reality.

A House is Expensive

My daughter seemed to think that owning a home is “too expensive.” Owning a home is a more substantial investment than staying with mom or dad, but it does not impact your monthly budget any more than an apartment rental payment.

You can buy a $50,000 starter home with a $10,000 down payment on a conventional loan. Your monthly payment on a $40,000 loan for 30 years at 5 percent is $339.72, assuming a moderate amount for taxes and insurance. You do have to pay for utilities and other living costs, but the total bills do not exceed an apartment with the same amount of space.

You might also qualify for an FHA loan which has reduced credit score and down payment requirements. The minimum down payment is 3.5 percent as of 2014, which means you put just $1,750 down on the $50,000 property.

It is Too Much Work

When you own anything, it takes some time, effort and money to care for it. Your car requires basic maintenance and care, after all. A home needs basic cleaning, lawn care and routine maintenance, such as painting, yard trimming, deck staining, roof repairs and pest control.

The amount of resources you invest in these things are in your control, but some effort maintains your property’s value. Your house is an investment, so basic care helps it retain value so you get adequate cash on a resale. Whether you live at home or in an apartment, you have some basic maintenance responsibilities as well.

The Market is Bad

When the economy sours and home prices decline, some people choose the safety net of an apartment. In reality, the best time to get a great deal on a house is when prices reach a bottom. You get more home for your money and achieve a greater return on investment when it comes time to sell.

If you do not plan to live in the house for long, the “bad market” excuse is sensible. However, avoiding a stable property purchase because of low market values is not intuitive. Seize the opportunity to get an excellent deal in a buyer’s market.


Home ownership is not always the right move for a young adult. Apartments do make sense in certain circumstances. However, the “high cost,” the expected work load or a down market are not valid reasons to avoid buying a house.

And hey! She’s all moved in now and loving her new place and I got a whole extra room at my place to turn into a sitting room for me and my husband to relax in.