Make calculation concept to increase mortgage to a bigger house or real estate property
Many Americans have discovered during the pandemic that their living spaces are no longer quite big enough for their needs. Whether you’re working from home, attending school online, or just spending more quality time in your own space, you may feel a little cramped in your current home. With mortgage rates low and the desire for more space high, now can be a great time to upsize. But you should think carefully before rushing into the purchase of a bigger home so that you can avoid these common upsizing mistakes.
Not knowing how much space you really need
“Your eyes are bigger than your stomach” not only applies to eating a big meal when you’re hungry but also to when you’re shopping for a bigger home. You should take stock of your needs so you can accurately assess how much space will be enough in your new place. It’s easy to get swept up in the desire for more square footage and end up with a home that’s too large. Figure out what’s missing in your current set-up so that you can pinpoint what homes on the market will satisfy your needs without overextending your budget or your time. Remember, bigger homes cost more money, not just in the purchase price but in utility and maintenance costs, too.
Not thinking about the future
It’s hard to predict what life will be like once the pandemic is truly behind us. But it’s important to think about what your needs may be in the future. We’re all hyper-focused on what we need at this moment, but will you still need all this space when things return to “normal”? Consider where you’ll be five, ten, or even 20 years in the future. Will this home serve you down the line? Buying or selling a home is a major commitment, and you don’t want to find yourself needing to sell in just a couple of years because you didn’t take into account your future needs.
Buying too much stuff too soon
When you upsize, you need more stuff to fill that new space. But avoid the urge to buy a whole bunch of furniture before you move in. It’s better to let those spaces sit empty for a few weeks or months as you settle into your new home. You’ll get a better idea of how you want to use these spaces and can then purchase furniture to fit those needs. Holding off on big purchases will save you money in the long run and help you maximize your new space.
Rushing your purchase
We understand that we’re currently in a seller’s market. This can make home buyers feel anxious. While it’s true that buyers will need to act quickly when making an offer on a home, you should hold off on making a purchase until you’re ready. That means getting clear about your needs and wants, getting pre-approved for a mortgage, and getting acquainted with what’s happening in the local market. Making an informed purchase will give you the confidence to move forward with no regrets.
