What Makes a Starter Home?
The "starter home" can mean many things to many people. The lowest common denominator implies that the home buyer is not planning to live in the home forever.
Beyond that, what can make a starter home great?
- Affordability - I recently had a listing that sold for $1M that was the Buyer's "first home". No kidding. This home may or may not be his last, however, the typical starter home would be priced such that a monthly payment would be manageable for people who are getting started in their careers or occupations.
- Potential Resale - If the home will be sold when the owner is ready to move up, make sure the resale potential is strong - good curb appeal, newer construction, quiet location, good schools, good floor plan, etc.
- Meets Immediate Needs - Buying a home is always a series of compromises. A starter home is no exception. At a minimum, however, the first time home must meet the buyer's needs for at least 2-3 years into the future.
- Potential for Growth - Some starter homes can be upgraded or added onto so they can meet the buyer's expanding needs. This would be an ideal scenario because if the location is great, it may be more affordable to add onto an existing house rather than sell and buy another home.
So, what is the best way to find starter homes: price? location?. One way is to find these homes based on how the home seller or listing agent thinks the property is best described. The listing or flyer will only have so much room for one to describe the home's most appealing features. So... if the term 'starter home' appears in a description, they must think the property is well suited for a first time home buyer!
Using this approach, I dedicated a page on our site to starter homes in Reno. Of course, if these homes don't match up 100%, you can always search the site based on some of the other criteria mentioned above.
What are your thoughts?
Broker, CalNeva Realty
Broker - CalNeva Realty