Home Buying Strategies to Make Informed Decisions
With today’s affordability challenges, it pays to be strategic when buying a home. Mortgage rates affect how much it costs to borrow money for a home loan. To help offset high borrowing costs, some homebuyers are evaluating their wish list. Only then deciding what features they truly need in their next home to avoid overextending. A recent NerdWallet article states:
“A pool, for example, may be nice to have, but it may not provide as much day-to-day value as a garage or a space for a home office . . .”
While that pool may be appealing, think twice about whether or not it’s really something you must have to be happy in your next home. Is getting that pool the main reason you’re moving? Probably not. It’s more likely a need for more space, a home office, or proximity to loved ones, friends, or work that’s motivating you to make a change.
If you want to buy a home, think carefully about what is necessary for your happiness. Consider these factors:
- Must-Haves – If a house doesn’t have these features, it won’t work for you and your lifestyle. Examples: distance from work or loved ones, number of bedrooms/bathrooms, etc.
- Nice-To-Haves – These are features you’d love to have but can live without. Nice-to-haves aren’t dealbreakers, but if you find a home that hits all the must-haves and some of these, it’s a contender. Examples: a second home office, a garage, etc.
- Dream State – This is where you can really think big. Again, these aren’t features you’ll need, but if you find a home in your budget that has all the must-haves, most of the nice-to-haves, and any of these, it’s a clear winner. Examples: a pool, multiple walk-in closets, etc.
Once you’ve organized your list into categories, talk to your real estate agent about your top priorities. Consider what’s essential for your lifestyle and what’s a nice-to-have. Discuss where each feature fits with the agent. They can help refine the list further, provide tips on how to stay within budget and look for homes in your area that meet all your needs.
Bottom Line
In conclusion, having a clear plan and understanding of what features are essential for your next home is critical. This will ensure that you make the right decision. Taking the time to craft a list, categorize those features, and communicate with your real estate agent is key to finding a home that fits your lifestyle needs while staying within budget. By following this method and understanding what matters most, you can be confident that the home you choose is the perfect fit for you.