The median age of owner-occupied homes in the U.S has hit 42 years old, data from the 2024 American Community Survey (ACS) and reported on by the National Association of Home Builders shows.
That’s up slightly from 41 years old in 2023.
While this puts the average home age higher than the average age of homebuyers, it isn’t always a bad thing. Many older homes have the bones or structure that potential buyers could use to turn their space into their dream house. And these homes could be available to buyers now.
Get started on the process of buying an older home today by completing a mortgage application.
Where are the oldest homes?
New York state is home to the oldest homes in the country, with the median home age of 64. Because 42 is the median home age across the country, depending on where you live or are looking to buy a home, the median home age in your state might be higher or lower.
After New York, Massachusetts and Rhode Island have a median home age of 59. However, Washington, D.C., has many older homes, some built more than 80 years ago, with newer homes that offset the median.
On the other side, states in the Sunbelt tend to have some of the lowest median home ages, with Nevada at 25 and Texas at 28.
Benefits of buying an older home in today’s market
“They don’t make them like they used to” is a phrase you’ve probably heard, and many people believe that same phrase applies to homes.
Older homes can come with a charm and unique architecture that aren’t as common in modern homes. There could also be a historic significance in older homes that might be a draw for potential homeowners as well.
Some older homes could even be more affordable and have a better location than newly constructed houses.
What to know before you buy “old”
When looking to buy an older home, there are a few things to consider in the property you are thinking about buying.
Older homes can have outdated appliances and systems that may not meet your needs or might break down easier than their modern counterparts. Some older homes might have structural or roofing problems that could use work.
Getting an inspector to look through any properties you are considering buying can help you see problems that may arise after purchasing the home. Most of these issues could be fixed through a little work or renovation loan.
How renovation loans turn a fixer-upper into a forever home
There are places you might see when shopping for a home that have an incredible structure and bones or a beautiful property within your price range, but there is something about the house that doesn’t fit your vision or work properly. While fixing these problems might seem like too much work or too expensive for some potential buyers, renovation loans can turn that property into your dream home.
Which renovation loan is right for you?
There are several renovation loan options available for those looking to fix up a home. The right choice for you depends on what kind of renovation you are looking for as well as your financial situation.
Here are some popular renovation loans.
FHA 203k
These government-backed fixed-rate loans cover the cost of a home purchase and renovation in one mortgage. Renovations deemed “luxury” are not permitted under an FHA 203k*.
HomeStyle or ChoiceRenovation Mortgage
Offered by Freddie Mac and Fannie Mae, these loans will allow borrowers to make any home improvements they would like with few requirements.
One requirement for Fannie Mae’s HomeStyle program is that any renovations must be permanently attached to the property. And Freddie Mac’s ChoiceRenovation may not be used to raze an existing structure and build a new primary home or for personal property with the exception of new home appliances.
VA renovation loan
Qualifying veterans or active-duty service members can take advantage of renovation loans backed by the Veterans Administration and turn their space into their ideal home.
Those who own their homes could consider tapping into their home equity for any planned renovations. You could tap into your equity through loans like a cash-out refinance**, HELOC*** or home equity loan.
Don’t wait for new construction
While some buyers might prefer to wait for new construction before purchasing a home, it isn’t always the best option for everyone.
New homes can be more expensive than older homes. And any home construction could hit unexpected bumps and be delayed. When you wait for new construction, you are also gambling on mortgage rates. No one can predict where mortgage rates are going, so waiting for new construction means your rates will be whatever they are when the home is done being built.
There are older homes available for potential buyers whenever rates match their needs, or they are ready to enter the market.
Ready to enter the housing market or already found a home you love? Begin your mortgage application today!
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* Credit score and down payment requirements higher for 2-4 unit, investment properties and renovation products.
**Using funds from a Cash-out Refinance to consolidate debt may result in the debt taking longer to pay off as it will be combined with borrower’s mortgage principle amount and will be paid off over the full loan term. Contact Rate for more information
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