The Honest Broker: Buyer Anxiety
Making a real estate purchase is one of the biggest financial decisions that people make. There is no wonder that even the thought of buying can produce an intense amount of anxiety. The weight of the number of decisions to make, which include financial, location and what their needs are for a home, can be quite overwhelming for some.
First and foremost, the cost of ownership is a major issue. Home prices have steadily increased since the market bottomed out in 2008 due to the mortgage crisis. This is a 2 edged sword; good for a seller and bad for the buyer entering into the market. It shows that real estate should be a significant part of your personal portfolio for investment. However, the enormity of the financial obligation and commitment can cause a person to pause. Getting good financial advice and screening should help with this initial decision by sitting with a mortgage broker or banker. Therefore, the realtor and mortgage broker “team” combined, can help in diminishing anxiety associated with purchasing.
As in past blog posts, the decision of where to buy a home and the permanency of it can also be cause for anxiety. Answering the following questions should be used a guide in determining location:
- 1.) How long of a commute do I want to, and from, work? How much time will I be in the car?
- 2.) What and where the schools are for my child or children, if this is a consideration?
- 3.) What location will provide the lifestyle that I want? For example, consider the lifestyle that the city vs.suburbs provides; stores, nightlife, quiet solitude, etc.
These are basic questions and after answering them, the decision should be easy and made with confidence.
Lastly, desires/wants in a home. What do I need? What would l like to have? What do I want? Believe it or not, these are all not the same. This can be easily solved by using a 3 column method and, along with knowing the boundaries of your “budget”, the picture can be made clearer. I provide a checklist form to help the future buyer determine what and where their priorities are. By placing them down by priority, the anxiety is alleviated because they now have a plan from which to work.
Once there is an established budget, desired location and list of priorities, the anxiety level of a buyer can be “dialed” way back and in coordination with a realtor’s counsel and guidance the plan can be initiated.
Diane Lott, Broker
Paradise Found Realty, Inc. of Palm City
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