Many people work for decades before they’re able to finally put a down payment on a home. Homeownership is certainly the dream of many people. Living under a landlord has many disadvantages for families that would be solved by owning your own place.
Still, buying a house can be a confusing process. There are, for one, many different things you have to settle on. One of these is the size of your home. Exactly how much home do you really need? That answer depends on a number of different factors.
What Is Your Budget?
Above all else, the biggest constraining factor in how large your house should be is what you can reasonably afford. Buying more house than you can actually afford is a terrible idea. In fact, this was one the key causes of the 2007 Mortgage Crisis. People borrowed more than they could afford to mortgage their homes, and those loans ended up defaulting. Overall, you need to have a budget in mind for what kind of mortgage you can afford to pay for the term of the loan.
What Kind of Family Will You Have?
A second important factor you must consider is the size of your family that will live in that house. This includes the size of your family now and the size of your family 10, 20 or 30 years from now. Some people make the mistake of buying a home that is only large enough for their current family. They didn’t account for the fact they may have more children in the future and that their parents may move in with them in their later years. Unless you want to move again in the future, this is something you should account for.
How Much Square Footage Do You Want?
You should also get technical when it comes to deciding how much house you want. One technical term you should use is square footage. You calculate square footage by multiplying width by length. More square footage means having a home that feels more spacious and has more space for storage as well as different features and amenities. More square footage also means more expense in regards to property taxes, insurance and heating, and cooling costs.
Where Will Your Home Be Located?
The location also, to a large degree, determines how much home you can afford. Certain neighborhoods are simply more expensive. A large home in these places will cost a fortune. You may have to do with less space. However, you may be able to build a home several times that size for much less expense in a more rural or undeveloped area. It really depends on the location.
What Amenities Do You Want?
The amenities you want with your home will also determine what kind of home you buy in terms of size. If you want a pool, you obviously need a backyard that could fit a pool. You may think you have enough space to build one, but you may discover that you can’t break the ground in that small amount of space due to a well or underground sewer system. Factor in the amenities you want when you shop for a home.