Hello, everyone and welcome back to a new video. Now I had something else planned for today, but I'm still not moved in, as you guys can probably tell so. I figured I'd make a video on out of my home in your 20s. So if you're, a young buck like myself and you're looking to buy a home, then I'll be the first young person to tell you that it's actually not that hard at all anyone.

Yes, anyone can buy a home in their 20s or even younger if they knew what was actually going on, and I've heard that if you click the like button on this video, your chance to buy a home go up by like a million percent right today, I'm Gon na be telling you guys what the hell is actually going on if you want to buy a home all right so check it out. I'm 23 years old at the time of buying this house behind me and I'm not trying to say that in a bragging way or that that's crazy insane. I'm trying to tell you that it's really not that hard to get a house! You just got to know! What's going on and what I mean by that is that you need to just take the necessary preparations to actually get yourself a home that you want to get and a lot of people. Just don't take the steps necessary to put themselves in a position to be able to buy home.

For example, you don't just you, don't just wake up one day and say you know what yeah I think today, I'm gon na go to the store and pick out a home and buy it. No buying a home is like a process. You don't just go to Amazon, buy it put it in your cart and get it. Two days later, you got to start preparing for it months, maybe years in advance to get yourself in a position to actually make a purchase.

That actually makes sense for you - and this is super important if you're buying your first home, because if you're like 50 years old - and you have a midlife crisis and you're like you - know what I'm just gon na wake up today and go buy a new home. Sure you can go do that when you're 50, because you've got a lot of money and you're, hopefully more established, but no we're not 50 year old dudes we're young bucks. We spend a lot of money on some dumb stuff like traveling and I don't know, drinks at the bar and Starbucks twice a day and if you're, especially dumb, you buy boats. So I mean you know again: we just make really stupid purchases and that's why we usually are not in a position to buy a house but anyway buying a home is a process and the fact that you're actually watching this video is good.

Because that's the first step in the process of getting a home, but I'm gon na go over three things today. That is important when actually buying a home and again these are things you're gon na want to work on now, so you're prepared for it in the future when you actually want to buy. Oh, I don't know said this like a million times, but again this is a process and it doesn't happen overnight. Okay, so just keep that in mind as we go of these things but number one, you need to have a jump right, so you need to have reoccurring, income, okay - and I don't want to get too much into the weeds in this video about all these qualifying Things and having a qualified problem, just these are the three basic things I'm gon na be going over that you just need to keep in the back of your mind if you're planning on buying a home in the next five to seven years.

Okay, because a lot of people go, homeownership is not in my deck cards right now. I don't know what I'm doing my life totally fine just know these three things you can actually keep it in the back of your mind, for when you actually want to buy them so number one right you need to have like. I just say you need to have a job, you have that reoccurring, income and you need to have reoccurring income. That is actually like a history of it.

So a lot of people get a job right. They get a job and they've got a salary. Job or they've got a base, hourly pay and let's call it $ 15 an hour right everyone's, like yeah. I make fifteen hour, but really I work a lot of overtime.

I get bonuses or commissions on the sales that I get so really I make like 25 26 an hour and that's great, but if you got all that overtime that bonus and all that other stuff, that's not base pay. You need to have a two-year history to actually be able to use it. This kills so many people if you're, making like 50 60 70 80 K year on base salary, no bonus, no Commission either step over time, then you're, probably golden, but if you're only making. Thirty thousand base a year and then a lot of it comes from Commission and bonus guys.

You need to have it to your history, there's still so many people, because a lot of entry-level jobs these days are structured. That way, you only make thirty to thirty. Five thousand a year, but really you can be making about sixty thousand a year with your commissions and bonuses and overtime and all that other jazz. So just know that if you get a great job, that's awesome good for you.

Congratulations, but if there's anything other than base pay on it, you need to be at that place for two years to be able to actually utilize that income again just things to keep in mind, because a lot of people don't know that a lot of people like To switch jobs when they're starting out in the workforce so just going to keep that mind now, if you're in the same industry, sometimes you can use it just got to be a little careful with that, and another thing I want to mention is it's 2019 guys People get red our people, our age, get revenue sources from all over right. I mean there's a lot of influencers and people doing a lot of their own side, hustles and side gigs, and I totally get it I'm all. For that. I have multiple side gigs and that's what I think everyone should have, but if you're making income like that, then you need to actually claim it on your taxes to be able to use it to buy home.

So, for example, I'm gon na give you one real, quick. I've been making income off YouTube for a while and a bunch of other things for a while, but don't tell the IRS, but I don't claim everything right. So I write off a lot of things. It doesn't look like my business is all that profitable, but when I was gon na buy home, I had to actually claim a lot of that stuff, so I can show that I actually make money.

Okay, so that's another thing, important to say: a lot of you've got sign, hustles and they don't claim anything and then they're all pissed off when they come to me and they're like dude. But I make such good money and I'm like well, your taxes show you made 300 bucks last year. What do you want me do I can just food for thought and if you do have a side, hustle just get an LLC. It's like 100 bucks to do and you'll be so much better off in the future.

Again, these are things just to keep in mind a lot of people. Don't know these things are age, so I'm trying to tell as many people as possible bottom line, I'm trying to say with this number one thing is just good job get some good reoccurring income that you can't prove all right number two. You need to have credit. No wait scratch that you need to have good credit to buy a home, and this is another thing that kills so many people our age, because a lot of us don't get credit cards.

Our parents have basically conditioned us to say, do not get a credit card. I do not want you in credit card debt, it can really mess your life up and it can you should listen to them. I can really mess your life up, but you do need to get a credit card or two. I always recommend getting two credit cards and just barely use them just barely use them.

What you don't want to do is get a credit card and go eat everywhere, like let's say Chipotle and get avocado on every single meal that you get because that's how you go bankrupt, but no seriously guys you need to get a credit card, barely use it. What i always recommend it's the best strategy, in my opinion, when you're starting out you're younger - and you don't want to worry about anything, get a credit card, throw your netflix subscription on it, throw your gym membership on it, only throw like 50 bucks a month on It have it automatically pull out of your checking account or whatever you use, and you don't have to worry about it at all and it's actually building you credit super simple to build one of these. Unless you plan on buying your house cash you're gon na need some credit, so just go get a credit card. Go do what i just said get an Amazon Prime credit card.

If you can these things are amazing you're already spending tons of money on Amazon. So you might as well get some free stuff for doing it and build your credit. No-Brainer. Oh, and I made made a few videos on how to build your credit score I'll.

Leave them down below they're, actually pretty entertaining a lot of people, say credit or credit score and they get all bored or whatever, actually good stuff to know you don't get taught these things in schools, so go check out that playlist down below, but pretty much guys. You just you start building that credit you're gon na get a way better interest rate. You're gon na actually be able to qualify for house lower interest rate means lower monthly payment, which means are gon na, be saving so much money in the long run, which means it's just so much better offer you financially, oh and before we go on to the Next one number three: I want to say that credit also includes liabilities, so please do not have tons of monthly payments all right. I get so frustrated when I see someone who's like 20 to 23 years old.

They just bought a 20-19 brand new $ 40,000 car and their monthly payments like six hundred and fifty bucks a month. You don't need that brand new car. You do not need that. There's plenty of great cars that are not brand new.

For example, both my cars are 2006, alright, so it's like and I love them - they're great. They do the job. I get from point A to point B, they're fun to dry those kind of things. I mean you don't need that brand new car, because if you've got that five six $ 700 a month payment - and maybe it's not just in the car - maybe you got the student loans to add to it all of us.

If I got a video for that down below as well as student loans, but pretty much, what I'm trying to say is just don't have tons of monthly liabilities, guys we're young, we don't. We don't want to have these bills to pay. So don't put yourself in a position where you've got to be making X amount of dollars a month just to pay all these bills. Alright, keep your expenses super super super low, plus, it's just way more fun that way, because then we can actually go, spend money on our avocado and our drinks at the bar.

Alright, last one is number three which is savings. Okay, you need to have a little bit of money in the bank and a lot of people. Our age think they need to have 20 % to put down on a house. You do not need that.

Just start saving a little bit. You should already be saving. If you make a thousand bucks a month, then you should be saving at least a hundred bucks a month in your savings. Kinda always try to save at least 10 % minimum of 10 % and you'll be in a better financial situation.

Guys you need to have a little bit of a savings: okay, not a ton just a little bit in there. So if you can't tell by now I mortgage lender in Arizona, so I see this up, I know the stuff. I do this up every single day. That's why I'm making this video, but I see 90 % of the time that people come to me, first-time homebuyers, come to me and they want to put the minimum percent down, which is totally fine and totally good, and you should be doing that.

Putting the minimum percent down so what is the minimum percent down? Well, you only need like 3 % to put down on them. Okay, so three percent of a hundred thousand dollars keeps simple if you've about a hundred thousand dollar home. That's on like three grand in the bank, two hundred thousand dollar home, which is usually about the range of a first-time homebuyer, two hundred, maybe one eighty to two thirty. You know you're looking at three percent of that six grand sixty five hundred bucks, really not that hard start saving now, so you can be in a position to actually put that down on a home when you want to actually biome or just blow it on a Boat choice is yours, so savings, and I want to mention this real quick.

A lot of people always tell me this will aren't their down payment assistance programs. I can get into a house with no money down. Yes, there are down payment assistance programs. I do not recommend you use them, because your interest rate is going to be very high, so, yes, you might get into the home with that down payment assistance, but you're basically going to be paying it in your interest rate over the course of whatever how many Years that you're in there, so it's really not worth it.

You can save and put the money down. You're gon na be way better off. I mean I've done the math on it so many times, you're gon na be so much better off and even with the down payment assistance program, a lot of people think that they can literally get into a home for $ 0 and some programs. Yes, you can get into home for $ 0.

It's got to be the perfect home that basically, no one wants because you've got to get your sellers pay for all your closing cost, basically guys. There's an appraisal fee you got to pay for which is usually 400. 450 bucks 500 bucks for that, and then you got to get an inspection you don't have to, but you should get an inspection inspection on the home, which is like 200 bucks. So, like you need to have some money in your account, even if you want to use the down payment assistance program guys, I've literally had people come to me with negative bank accounts before and I'm like.

No, no but again, those are the three main components to buying a home in your 20s and really making puns for anyone buying a home. But it's important when you're in your 20s, because we don't know these things. We aren't taught these things in school and you need to know them alright, so you got ta have income, you got, ta have some good credit and you got ta have a little bit of money in the bank to actually get into a home guys and again We're not taught these things in school, so a lot of people don't know these things and then when they want to actually buy a house, they go talk to a realtor and the road says: alright, we'll have you done these things and you're like what is all That I don't know, I just want to buy a house, and you can't do that. So again, it's a process.

You got ta start now, even if you want to buy home in like five years just know these three things keep them in the back your mind. So when you're actually doing things getting new jobs, maybe saving money doing all sorts of stuff you'll be better off to buy home and guys, like, I said it's really not that hard to buy a home in your 20s. You just got to live a little bit frugal. A lot of people think that I've got tons of money and I made tons of money in reality.

I really don't. I just saved my money and I'm very smart with it. I'll never buy a toy or an asset unless I know that I'm either gon na get a tremendous amount of value out of it or that I'm going to end up selling it for more than when I bought it for gay guys, you just got to live A little bit more frugal, I know that our 20s, it's fun to just go out blow. Money have fun, live life, all sorts of these things, but I'm 23, and in the last three years during in my 20s, I've had tons of fun and I've done so many great things and it's all possible.

Even if you don't make that much money, you just got a live frugally. You just got ta save a little bit more money. When you can you don't need that avocado on your Chipotle burrito, all right, you don't need to be going to the bars three times. A week and blowing $ 40 each time you go to the bars and you just save a little bit of money.

Alright save a little bit of money, and it's really not that hard to get a house and again, if you live in Arizona, and you want to find out specifically what it takes getting to a house or your specific situation, what can be tweaked or fine-tuned to Get into a house then definitely reach out to me. You can go to lending Shawn, Malcolm I'll, leave it link down below, for you guys again lending Shawn a lucam. I love to help you out, but ultimately hope you learn something new. If you did, please click that, like button, I appreciate it drop me a comment, what you think down below, or maybe your specific situation, I'd love to kind of give some feedback and subscribe.

If you're new around here, I try to release a lot of really great content on here. That's either not taught in school or that's just a lot of people don't know about. So definitely that subscribe button. If you're new, plus, I guess what I'm plugging everything you might as well, follow me on social media at Shan Malik, you Instagram Twitter, face whatever MySpace.

I don't know, oh in a cool video, that I'll be dropping soon is actually a renting versus buying comparison, and a lot of people always just say, oh well, buying is always the smartest situation, but sometimes it's actually smarter to rent, and I want to actually break That down the video so again subscribe if you're new around here to check that one out, I think a lot of you guys would really like that one, but again Sean's the name. I wish you guys all the best of luck in buying your first home. If you're trying to buy a first name or if you just start in the process, now good on you for starting the process again, I wish you all the best of luck and I will see you in the next video.