Are you finding it harder to achieve your dream of owning your own home because everything seems to be getting more expensive these days? Well, according to Bankrate, a lot of people are taking up side hustles to earn extra money and save up for a home, especially younger folks who have student loan debt. Check out the graph below to see just how common this trend has become.

Looking to make homeownership more affordable right now? How about turning it into a profitable side gig in the long run? I've got two great strategies for you!

Transforming the Challenge of a Fixer-Upper into an Opportunity

If you're looking to break into homeownership, one option you might want to think about is buying a fixer-upper. Basically, it's a house that isn't as attractive to buyers and has been on the market for a while.

““The current state of the housing market may have you expanding your options to try to find a home that you can afford. A fixer-upper that needs some updating and a little love can feel like a welcome alternative to move-in ready houses that go off the market before you can even take a tour.””

— U.S. News

If you're open to buying a fixer-upper, you could actually score some major advantages. Firstly, you won't have to stress about finding the "perfect" home since you're willing to put in some work. And the icing on the cake? You can likely snag a home at a lower price, making it more affordable to get your foot in the door of the housing market. Plus, with a little elbow grease, you might even be able to increase the value of the home down the line. So it's a win-win situation for you as a potential homeowner!

Sure, the home might require a bit of work, but putting in the time and effort to gradually improve your house not only makes it more comfortable for you, but also boosts its potential resale value down the line. So, as you take pleasure in transforming a house into your dream home, you're also building up equity that can be cashed in when you decide to sell.

Renting Out a Portion of Your Home To Make It More Affordable

Another great idea is to buy a home with the plan of renting out a part of it. According to the folks at Zillow, renting out a portion of their home is a big deal for many young homebuyers these days. Check out the graph below for more details:

You know, this approach really has a strong purpose. Just like Manny Garcia, the Senior Population Scientist at Zillow, likes to say:

““For those first-time buyers navigating the ‘side hustle culture,’ where a regular 9-to-5 might not quite cut it for homeownership dreams, rental income can step in to help . . .””

— Manny Garcia, Senior Population Scientist at Zillow

In simpler terms, renting out a part of your home can actually make it easier for you to pay your monthly mortgage. It’s a great way to not only save money, but also to become an investor and earn extra income from your home. It's definitely worth considering if you're open to it!

Bottom Line

In today's tough market for affordability, both of these strategies provide a more realistic chance for younger buyers to become homeowners. If you want to chat about these options and how they could work for you in our area, let's get in touch.