And the "starter home" — typically, a modestly priced two-bedroom home with fewer amenities, such as less storage space or no backyard — has become exceedingly rare, except in a handful of markets.real estate broker at Wolsen Real Estate
Here's a look at how a handful of people are navigating a tough housing market, from buying tiny homes to renting out part of their property to sharing the costs with friends.It didn't take long for Schneider and her roommates, Stephanie Vandergrift and Kathy Keel, to decide to split the cost of buying a house. They knew they still wanted to live together and all share the same mindset, Schneider says.Left to right: Amanda Schneider, Kathy Keel and Stephanie Vandergrift.
"As a single purchaser, I don't think I couldn't have gotten something as nice," says Schneider. "With three incomes, it broadens the possibility of what we could get, and we genuinely enjoy living together as a unit of roommates."It's been a smart financial move too. As an investment, the home has "skyrocketed" in value since Schneider and her roommates moved in three years ago, she says.
"We're very grateful," says Schneider. "It feels like a home, rather than a temporary situation. We now have such a strong asset that assures us we made the right choice in purchasing a home together."In 2019, 25-year-old Vadim Yuryev and his wife, Annette, had enough money to purchase a starter home for their young family in Spokane, Washington, where he was raised. But he also wanted a cash-generating property that could help cover the monthly costs.
He and his wife spent another $35,000 on renovations for one half of the property, which is where the couple lived while renting out the other half. The couple moved out of the duplex to a bigger rental unit in January 2023. The duplex is a cash-generating property now, with both units currently rented out for total monthly revenue of $2,800.Despite the income, there were downsides to renting out part of the property, Yuryev found. While renters can help bring down costs, you still need a lot of cash upfront, especially for older buildings, he says.