When the housing crisis and economic recession hit, it put many prospective homebuyers’ plans on hold, forcing those considering purchasing a home into the rental market. Now, as the economy continues to improve, some of those renters are looking to own.

There are many reasons why the real estate market may be somewhat appealing to some right now. For the first time since the recession, there has been steady and consistent growth that has investors cautiously optimistic about getting back into the market. With additional government tax incentives for first-time buyers and a significant portion of...