Setting your personal real estate budget
An important step that you really should get to sooner rather than later ... and what could help in setting aside the time you need ... (hint: 🦠)
Today, you should be specifically thankful that this is a newsletter, not a podcast. My voice is hoarse and creaky and every second half-whisper is interrupted by a terrible, hacking cough. Yep, after making the odd Covid reference for the better part of a year now … this damned virus has gotten me. Oh well. Luckily, I get to be pretty nonchalant about it because I don’t feel much worse than with an average flu. Clearly, the boredom of having to isolate yet again is worse than the actual symptoms, because here I am, writing another newsletter. Now is as good a time as any, I guess, to be discussing your personal budget and how to think about how much real estate you can actually afford? Let’s get to it.
If you have been reading this newsletter for a while, you might remember that we are especially keen on this one learning: If you “buy cheap” - you are probably more than half there. But even if you are just starting out here, this one seems obvious, doesn’t it. Yet, looking back on our first purchase and crunching the numbers now it can’t be overstated how big of a difference this made. After initially viewing multiple properties in a price range that makes me half cringe and half laugh in hindsight we eventually found and bought a house that was overall much more affordable (read: smaller) but also sported some good initial financial indicators.