In a surprising turn of events, the generation that most people expect to struggle the most in the housing market is actually doing well. Millennials have long been expected to have a difficult time saving up for down payments on mortgages, but, Generation Xers face more challenges than their younger counterparts.
Gen X Mortgage Problem
According to a market report, 47 percent of Gen Xers have difficulty saving money for mortgage down payments. In contrast, only 23 percent of Millennials confess the same problem. If you’re a Gen Xer, you can attest to the difficulty of your generation if you are having trouble as well.
Time to Save Up
Nonetheless, Altius Mortgage Group notes that you can still try to afford a down payment from a mortgage lender here in Salt Lake City. Experts estimate that you and others of your generation in the 35 to the 44-year old range will need around 2.5 years to save up for a 10 percent down payment. This was based on a $322,300 mortgage scenario and the average income and spending data from the Bureau of Labor Statistics.
Pursue a Side Hustle
Of course, your personal situation will affect how fast or slow you will save for a down payment, but you can do more to improve your status. For most Americans, a second job or side hustle can become a source of down payment funds. Even a temporary one can do wonders for your finances.
Get Better at Budgeting
By creating a budget plan, you can cut down on unnecessary expenses, such as small luxuries that you enjoy regularly. You can also identify saving opportunities that involve less drastic changes.
You can save for a 10 percent down payment, but you can take the time to save for a 20 percent down payment, too. Once you have enough money, you will achieve what most of your generation are struggling to have: a chance to own a house.