Catherine Albiani's Blog
Getting married could easily set you back tens of thousands of dollars, especially if you pay for a large or extravagant wedding. To save money after you get married, you could be tempted to move in with your parents. But, that would cramp your style and put a dent in your romantic life. Fortunately, you have options.
Renting your way into a great starter home
A good first step to getting your own house right after you marry is to rent a house. Renting a house is a good way to ease into homeownership. It's also a way to live in your own home without taking on the costs of repairs or homeowner's association fees.
If you take this route, each time something needs to be fixed at the property, ask the landlord or homeowner to tell you how much repairs on the house cost. This will give you an idea of how much it really cost to own a home.
Fall in love with the house? Ask the landlord if you can enter a rent-to-own agreement. Try to get the rent that you have already paid on the house taken off the total cost of the house.
Check out these other great starter homes
Renting a house is a great starter home for newly married couples because it gives couples a time to learn without forcing newlyweds to take on debt. Other great starter home options for newlyweds include:
- Small house - Tiny houses are trending. You could save big with a small house. As with any house, get the home inspected, price compare and make sure that the house has enough space to accommodate your personal needs and likes.
- Foreclosed home - Partner with a realtor who has bought and sold more than a dozen foreclosed homes. Ask realtors what to expect from the process before you get started. As a tip, you generally won't get to negotiate the price on the house. You'll also be responsible for repairs, so get the house inspected.
- Buy a house from someone you know - If a relative, friend or colleague is selling their home, see if they will give you a deal. For example, they might let you keep the refrigerator and stove and oven or the washer and dryer for free.
- Older house - Be open to buying an older home. You could get lots of space at a lower price.
Depending on where you live, there could be more than four to five different ways to buy a house as a newlywed. If you work for a financial services company, check with your people manager or human resources specialist to see if you can get a mortgage through them at a reduced rate. Also, check with your lender to see if you can get a reduced rate mortgage if you have current or prior military service.
Be honest about your finances. Avoid taking on more mortgage than you can afford. After all, you want to enjoy your first home. As newlyweds, you also want to enjoy deepening your relationship. The last thing that you want is to take on too much debt, exposing your new marriage to undue stress.