The needs vs wants checklist: a key homebuying tool
August 6, 2018
How do you make sure you buy the right home? Between the home itself, the all-important location, and the limitations of your budget, there are a lot of variables to consider. It’s quite a balancing act.
Just to make things more difficult, homebuying is an emotional experience for most of us. How many times have you heard someone say that they “fell in love” with a house? That can be great. But when the love-at-first-sight magic is happening, it’s easy to lose track of what’s truly important to you, and even ignore major flaws.
All this is what makes a simple checklist of needs vs wants, like this downloadable one we’ve made for you, a key homebuying tool — maybe even on par with a monthly budget.
Doing your homework on needs vs wants helps you:
- Save time, because you won’t bother looking at houses that don’t “fit”
- Put your emotions aside to the best of your ability
- Get on the same page with a spouse or partner
- Make the best decisions when your budget meets reality
- Act quickly and confidently when the right home comes along
Plus, your real estate agent will love you for it. It makes her job easier too.
Need it, want it, don’t care
It’s worth taking a minute to define what we’re talking about when we talk about needs vs wants.
Needs are virtual deal-breakers. Maybe you want a single-family house, not a condo, period. Or vice versa. Maybe you’ve chosen a particular community, end of story. Maybe you need three bedrooms for the kids you plan to have in the next four years. These are essentials that would impossible, or very hard, to change.
Wants are optional, to varying degrees. Our checklist has “big want” and “small want” columns. These are things you want but can live without, or possibly add to your home later. Maybe you crave new appliances. But if an otherwise perfect home has junky ones, you’re still going to jump on it. On the other hand, a kitchen outfitted pro style could seal the deal if you’re on the fence.
And then there’s “don’t care.” This is the stuff that’s irrelevant to you. Work at home? Commute time is not part of your world. Carless? No need for parking.
Ask yourself the right questions
Here are some things to think about as you work through the needs vs wants checklist.
What do you love and hate about where you live now? If the layout of your current place is a huge pain, for example, think twice about settling for a home that has the same problem. Things like that really shape your daily life.
How long will you live in your home? Needs are a moving target, and your first home probably won’t be your last. One recent study showed that these days, the typical buyer of a single-family home stays in it for about nine years before moving on. But maybe your plan is to buy a small starter home and, in five years or so, trade up to something with more room for kids. Think short- and long-term goals.
Are your expectations realistic? You probably won’t get everything you want in one house. Homebuying is about compromises and tradeoffs — and being smart about how you make them. One way to work on your realism is to start visiting open houses well before you intend to buy.
If a home doesn’t meet a need as is, can you remodel? Are you willing and able to add your must-have third bedroom or second bathroom? If you face this kind of decision, make sure building codes won’t preclude your plan. And get a realistic sense of the cost. Do you have the money? How long will it take to save up? One of the biggest surprises for new homeowners is how darn expensive things are.
The home shopping checklist
With all that in mind, are you ready to get started? No checklist can cover everything. We’ve tried to be comprehensive without being ridiculous. On the download, each section has a little space at the bottom for custom notes. If you’re buying with a spouse or partner, it might be interesting to fill out the checklist separately and then compare.
May the home shopping gods be on your side! Or at least a really great real estate agent.
Ready to take the next step in your homebuying journey with all the confidence of a smart and savvy homebuyer? Our comprehensive online homebuyer course is simple and easy to access on your computer, tablet, and mobile device. It's all the information you need, all in one place. Go ahead and get started today.
Filed Under: For Homebuyers