A starter home is a free standing house, town house, or flat that's within a first-time buyer's budget. It's a home you don't plan on living in forever, and one you plan on eventually outgrowing. Your starter home might be a fixer-upper, a new development or anything in between. Starter homes are usually where single professionals or young couples start their property ownership journeys.
There are so many benefits to buying a starter home! Buying a starter home can help you build sizeable equity to put down on your forever home or serve as a long term source of passive income. You can also redecorate, renovate, and refurbish to your heart's content! Your home is your canvas (just keep in mind that not all additions to your home will be a return on investment).
How much you should pay for a starter home is entirely dependent on your budget. That being said, you can use average metrics to guide you - just remember that markets fluctuate all the time. In January of 2020 the average price first-time buyers spent was R982,000.00. In Jan '21 however the market looked very different with first-time buyers spending R1,138,000.00. If you're feeling uncertain that's okay, our experienced real estate agents are here to guide you through every step of the way.