Learn How to Define Your Homebuying Goals – and How to Reach Them

Because of the significant price swings in the housing market over the past two decades, customers now view homes as assets. On the other hand, your investment is still a house, one that you’ll probably live in for a while.

The National Association of REALTORS® reported that the main justification given by purchasers for buying a house is the desire to own (27%), which was revealed in the annual Homebuyers and Sellers Generational Trends report issued in March. Other causes include the want for a bigger house (10%), the wish to live nearer to family and friends (9%), a change in family circumstances, such as a marriage or childbirth (8%), relocation or relocate because of a job (6%), the desire for a smaller house (6%), or wanting a house in a nicer neighborhood (6%).

Only 1% noted moving due to retirement and 3% said they were moving to be closer to work, school, or transportation options.

Identifying your own homebuying goals

What are your objectives in purchasing a home? Changing from an apartment to a single-family house with a private garage and yard could be something you’d like to do. You need to consider school districts, the closeness to parks and other suitable activities, and the potential growth of your family. You can be looking for a new or custom house, a second home, or an investment. If you have pets, you might prefer a house that is more suited to them.

Homebuying goals when buying new construction

Homebuyers who opted for a newly constructed or custom home wanted to avoid electrical and plumbing issues (44%), select and customize design elements (30%), take advantage of new home construction amenities (24%), be environmentally conscious and energy-efficient (15%), and have smart home features (10%). Twelve percent of purchasers claimed that the area where they wished to buy had insufficient availability of previously owned properties.

Homebuying goals when buying an existing home

A better overall value (35%), a better price (31%), greater charm and character (20%), and to own a fixer-upper and perform the repair yourself (6%), were the top reasons given by purchasers for choosing a previously owned property. 10% of purchasers chose to purchase a pre-owned property since there weren’t any available new ones.

Homebuying goals in a particular area

Sixty-two percent of purchasers cited quality as one of the reasons they choose their area, along with accessibility to work (45%), price (43%), family and friend proximity (41%), community design (29%), retail accessibility (29%), and school accessibility (23%). Other factors include the availability of larger lots, walkability, proximity to the vet, availability of outdoor space for dogs (24%), and accessibility to healthcare services (15%).

Thing long-term when identifying your own homebuying goals

Make your purchasing objectives long-term. Purchase a property that will meet your family’s needs for the longest time possible—at least five to ten years—while staying within your limits. The longer you own a home, the more equity you accumulate in a property over time—for yourself rather than for someone else.

You will most likely be able to recuperate the majority, if not all, of your investment and make money when you sell your home, thanks to each payment you make and the laws of inflation. If you stay in a community longer, your children will benefit from a more stable environment, more enduring ties, and greater scholastic and social continuity.

Remember that Berkshire Hathaway HomeServices is here to help you sell your home or find the right home to purchase. Contact us at (310) 373-0021 to get started.