Did you win an offer on a house or close on a house in 2022 and wonder if you made a smart decision or a bad decision?
You may not be alone. Purchasing a home is a very big deal. A home is the biggest investment most people will ever make. It's a really big deal! It can be very stressful and for some cause doubt.
Fear not! This is not the first time or the last time people will make purchases in a high market and wonder if they overpaid. It is important to remember while a home is a home it is also an investment. There is a balance between having a home (we all need shelter) and it being an investment. Monitoring the market and buying and selling when it makes sense it the goal.
The good news is, while the market might dip at times, history shows us that the Real Estate market typically has an upward trajectory.
The key is, you have to know when to hold them and know when to fold them. In other words, you need to be able to hold on to your home and not put yourself in a position where you have to sell during a bad market.
You also don't want to miss the boat. In 2021 some people decided to try to wait out the market. Not they're priced out of the market. It can be very challenging to try to catch up with a market that is going up, up, up!
You can protect your investment somewhat by purchasing a home you can stay in 7-10 years if necessary and/or rent if you are forced to move due to an unexpected situation. Monitor the market and make decisions about moving based on your needs and/or desires. Make a pros and cons list to help you come to a decision.
What do you do if you do have buyer's remorse? If you're having buyer's remorse, and you haven't closed on your home, here are some things you can do:
- Talk with your Real Estate consultant. Sometimes talking it out will help you see a little more clearly.
- Review the state contract and rules to see what you lose if you change your mind. In NC, it isn't super common for people to back out but it is good to know your rights.
- If you were only able to view the house you're purchasing for a short time or not at all, view it again.
- Picture yourself in the house and know that when you move in, you can change it to make it your own.
- Start a Pinterest board or wish list of how you want to change it. Just don't buy things until you actually close.
- Don't overanalyze everything.
- Don't let people who aren't buying in this market influence your decision. They don't get it.
- Don't listen to negative people because they'll find something wrong with everything.
- Ask yourself if it is really about the house or if you tend to worry. Meditate or find something to help you cope if you tend to worry.
- Plan an open house or house warming party to show it to your friends.
- Think about how this home will improve your current situation.
- Be grateful you have the ability to purchase a home.
- Remember, it may not be your forever home. You can choose differently next time.
Overall, it is common for people to second guess their decision. This market is crazy and you are forced to make quick decisions. It is important your Real Estate professional reminds you of your motivation to buy the homes you're looking at. They can help you have clarity during the home buying process.
I also want to mention that you need to understand the market you're searching in. For example, if you're searching in the top 10 markets in the US (Raleigh-Durham is #3) then there is a lot more security than most places. Because these markets are growing, chances are prices will grow for sometimes. That is as close to a guarantee as you can get.
The best advice is to be calm, have clarity as to what you want, and stay positive.