Starter Home vs. Forever Home: Which is Better

First-time home buyers or young adults who want a separate place to work and live are often confused. Because they are not able to decide what kind of house to look for. Also, renting a home is a good decision.

Today, we can see young entrepreneurs or remote workers require a different home to peacefully work and live. When we talk about starter homes and forever homes, both have their advantage and are best for a specific purpose. Starter homes are the more affordable solution with limited working or living space. Let’s explore them

Starter Home vs. Forever Home

What is Starter Home?

Definition: A starter home is a smaller but affordable option for home buyers. This is suitable for individuals or couples who are just starting their journey into real estate.  This small house or apartment has about 750-1,250 square feet of space and offers one to two bedrooms, one bathroom, and one kitchen.

This can be best for those homebuyers who have less income, fewer savings, and are not committed to long term. In the USA, you can buy this home at a minimum of $50,000 but it depends on location. 

Other than affordability, the starter home has many advantages with various cons. 

Pros of Starter Home

Affordability: Starter homes are budget-friendly options for first-time buyers. You are required to pay less downpayment, less EMI, less taxes, and less maintenance cost. With limited income, you can afford your small home for a living. 

Lower Maintenance Costs: Smaller homes do not require lots of money to spend on maintenance. Because you have less space, you will spend less on repairs, utilities, buying furniture, and general upkeep which saves money in the long run.

Faster Resale: As per research, starter homes have more demand than big properties. Because they are affordable, so mostly people can afford to buy them. 

Cons of Starter Home 

Limited Space: The growing families required more space for essential items and separate rooms for kids. This limited space can become a drawback as your family expands.

Fewer Amenities: These starter homes have only limited space to store amenities. You need to store only fewer and essential amenities. You can miss out on luxuries and conveniences that come with more expensive properties. 

What is Forever Home?

Definition: This is the dream home for most home buyers whether it is the first time or the second time. In this, a family plan to live in for the rest of your life. They bought this home after planning their future. It includes a larger kitchen, more bedrooms, a backyard, and easy access to public transportation.

These homes have larger in size with about 2,000 square feet of living space. These people are those who have good incomes, stable jobs and do not want to move in the near future. 

Pros of Forever Home

Stability: They are stable homes that eliminate the stress of moving for a longer time. It ensures a consistent living environment for you and your family.

Greater Customization: Here, you have the freedom to personalize and customize your living space to your heart’s content. Whether it’s renovations, decoration, furniture, or layout adjustments, you can do whatever you want as per your comfort and lifestyle. 

Opportunity to Build Equity: Because it is more cheaper option than others so you can save more. Also, as your home’s value increases and your mortgage balance decreases, your equity grows as a valuable asset.

Cons of Forever Home

Higher Costs: They are often more expensive initially. These homes required higher property taxes, insurance, and maintenance costs.

Long-Term Commitment: A forever home requires a long-term commitment. If you decide to relocate, it may be more challenging to sell or rent out the property.

Want to Sell Or Buy Homes Faster

If you want to sell your existing home or buy a new home, you can contact Master Management Corporation to hire work with an expert real estate agent. As a seller, you can list your property on our website to sell faster. 

Our real estate agents have in-depth expertise in real estate properties including selling, property taxes, buying new property, handling clients, and others. We offer you complete end-to-end support for buying and selling your property. 

Conclusion 

Starter and forever are two types of homes available for home buyers and it is very simple to understand which one is best to choose. Starter homes are affordable and the best option for new home buyers. Forever homes are not an affordable option but they are good for families who want homes for a longer time. Both have their pros and cons that we already discussed. You can get help from Master Management Corporation to find a new home or sell an existing home. 

FAQs

Can you live in a starter home forever?

Yes, you can technically live in a starter home forever but it is less suitable as your needs change with time. It might lack the space and amenities you desire in the long term.

What is the best age to buy a forever home?

The best age to buy a forever home varies for each person. It’s typically when you have a stable income, a clear sense of your long-term goals, and the financial capacity to make a substantial investment.

How do I choose a forever home?

Choosing a forever home involves considering factors like location, size, amenities, budget, and future plans. It’s crucial to prioritize your needs and preferences.

is renting a home a better option than buying a starter home?

Renting a home can be a better option than buying a starter home if you are not ready to commit to homeownership or have budget constraints. Renting provides flexibility and sensible choice in certain situations. But buying a forever home can be a better option.