Buying a Starter Home vs. a Forever Home

For your first home, is it better to buy a temporary "starter" home or the home you'll want to live in forever?

Buying your first home can be confusing. On the one hand, it can be tempting to stretch your budget to the limit and start off by buying the house of your dreams. On the other, you may be better off settling for something more modest to start with and then trading up in a few years once you’ve become more established financially.

Just because you can get the home you’ve always wanted right away, doesn’t mean you should. To weigh the pros and cons of starter homes and forever homes, and determine which option may be right for you.