Real estate is an integral part of your overall financial future. Have you considered how your choice will impact your overall lifestyle? Bedrooms, bathrooms, and school districts are absolutely important when buying your next home, but there are many other aspects that buyers may not take into account. Here’s a brief overview of five questions discussed when creating a lifestyle plan.
What Does Your Generation Value?
When you were born drives your decision-making. How Millennials approach real estate transactions differs greatly from how the Baby Boomers do. A Millennial may focus on career considerations while a Baby Boomer looks at recreational opportunities and access to healthcare. Gen Xers, on the other hand, are often driven by community attractions while The Silent Generation seeks proximity to loved ones.
Should You Rent or Buy?
Depending on where you are in your life, there are positives to both renting and buying a home. Have you taken each option fully into consideration? Some aspects to consider:
- Will a down payment be a financial burden?
- What is your time horizon for living in your new residence?
- Could local real estate market values increase or decrease?
Homeownership can be a wonderful investment but also a costly drain on finances. Regardless of your decision, you should feel empowered by the outcome.
Is it a “Move Up” Market?
Rightsizing your next home is very important to your financial future. Have you determined your true housing needs based on your current situation? Every household faces a different set of circumstances. Home values are always in flux. Can you bet on the value of your home increasing? Choosing to purchase the right home at the right time may equate to value for your family in more ways than just sale price. Moving up may not be defined as “more expensive” but rather as a “perfect opportunity.”
What Are Your Family’s Unique Needs?
Larger or smaller – your new home choice should factor your lifestyle considerations into it. From children and pets to healthcare access, there are so many dimensions when making a real estate decision.
- Is a daily commute in your future?
- Would you like to move closer to your extended family members?
- Are you focused on a diverse community with cultural attractions?
These are just a few of the questions that should be answered before choosing a location. Then, consider space needs.
- Would you like to reduce your personal belongings?
- Do you have any special space needs like caring for a loved one?
There are many financial benefits to downsizing your living space. But, when the closing documents are in front of you, your primary objective should be to have chosen the right amount of space.
Have You Set Goals?
Lifestyle planning goals are an important new concept within the financial planning practice. A professional real estate advisor will work with you to define your goals. Formulating a written plan that encompasses short and long-term lifestyle goals will help you choose a home that fits your needs. It will also clearly define how that decision fits into your wider financial picture.
This article only plants a seed about the subject of lifestyle planning. The Forever Agents at Berkshire Hathaway can provide you with a comprehensive Real Estate and Lifestyle Planning Guide for no extra charge. Simply contact a HomeServices network professional to realize your goals of buying, selling, and investing today.
