Prioritizing Your Wants and Needs as a Homebuyer in Today’s Market

There is no denying that mortgage interest rates are higher than they were last year. If you’re thinking of buying a home, this may be the most important thing for you. This is because these high interest rates affect the cost of borrowing money on a home loan. If you’re purchasing this winter, you’ll need to strategize and find a home that fits your needs and budget.

Danielle Hale, chief economist at realtor.com, explains:

“The key to making a good decision in this challenging housing market is to be laser focused on what you need now and in the years ahead, . . . Another key point is to avoid stretching your budget, as tempting as it may be given the diminished purchasing power.”

In other words, it is important to be conscious of what you need and what you want when looking for a home. The best way to understand this is to make a list of features you want in your home search.

first step? Get pre-approved for your mortgage. Pre-approval helps you get a better idea of ​​what you can borrow on your mortgage and plays an important role in building your list. After all, you don’t want to fall in love with an out-of-reach home. Once you have a good idea of ​​your budget, you can start listing (and prioritizing) all the features you want in your home.

Before you start, consider the following methods.

• Essentials – If your home doesn’t have these aspect, it won’t suit you and your lifestyle (eg.distance to work or loved ones, number of bedrooms/bathrooms, etc.).
• Nice-To-Haves – These are features that 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 the 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 need, but if you can find the essentials, the nice-to-haves, and a home with any of these things within your budget, it’s a clear winner (e.g.farmhouse sink, some walk-in closets, etc.).

Finally, once you’ve created your list and categorized it in a way that works for you, discuss it with your real estate agent. They can help you narrow down your list further, advise you on how best to stick to it, and help you find nearby homes that meet your needs.

Bottom Line

Creating a list of features you want in your next home may seem like a small task, but it’s an important first step to buying a home today. When you’re ready to find the home that fits your needs, get connected.

Find out why Kaya Homes is the leader in Long Island real estate and are your go-to realtor in the Lynbrook, Oceanside, Malverne, Hewlett, Valley Stream, East Rockaway, Woodmere, Cedarhurst, Baldwin , North Woodmere, Woodsburgh, Hewlett Neck Hewlett Harbor, and Freeport area http://kayahomesny.com.