How much house can you afford?

If you want the happiest experience from home, doesn’t it make sense to avoid the unnecessary stress and strain/hassle of buying a place beyond your comfortable financial means? In my more than 15 years as a licensed real estate seller in New York State, I have come to believe that the happiest homebuyer is almost always the one who buys a home, can TO PAY, that meets most of your key needs and personal requirements/priorities, etc. How much house, can you TO PAY? This question should be seriously considered before buying what for most of us is our single greatest financial asset. With that in mind, this article will attempt to briefly consider, examine, review and discuss, using the mnemonic approach, what this means and represents, and why it is important.

1. Assets; attention; assumptions: Begin the process by carefully reviewing all of your current assets and determining how much, you feel, is comfortably needed to maintain your perceived nest egg. During this consideration, one must pay close attention to your needs/expenses, other than housing, and what you can really afford! It is important to align one’s assumptions, with a well considered focus, on aligning your personal comfort zone with your true needs, etc.!

2. Finance: Take a close and objective look at your total financial picture, both now and in the future! How can anyone fully enjoy their home unless/until they examine their finances and objectively know what is currently within their means and perhaps their future potential?

3. Future: What is the goal of buying a home? Are you considering it as a starter home or a long-term solution to your and your family’s housing needs, requirements and desires? Depending on this and what the future may bring, your decision and action should vary.

4. Options; opportunities; organized: What are your options, in terms of financial affordability, personal comfort zone, region/area/neighborhood, transportation to work, safety, etc.? Does a specific house, often, any opportunity, due to its bones, region, area, neighborhood, lot size, safety, schools/education system, etc.? Your search will be better and more effective/focused, if/when appropriate, in an organized way!

5. Returned; realistic; reasons; region: Is a single-family home right for you, or would you be better off and more comfortable owning and living in a multi-family residence? If so, what is the likely source of income? Is your approach, realistic, and your reasons, in your personal best interests? Is there any flexibility, in terms of region etc.?

6. deepen; discover: Go beyond the surface and dig into your best interests etc. so you can discover the best path for you!

If you know and are comfortable knowing what you can, really, TO PAY, you will benefit. Are you ready to proceed, wisely?