Emotional attachment is dangerous when you are making a financial transaction. It can make you pay more than you should or hold on too long.
Now that I'm in contract to buy a home with contingencies, I've been wrestling with my emotions on whether buying a new home is a good idea. Perhaps you've also become emotionally attached to your existing home and are questioning your decision to move as well. Maybe this post will help you move forward.
Hard to Move On From Our Forever Home
I am forever grateful to our current home for providing us shelter during the pandemic. Hard times create stronger bonds. We moved into our home on August 3, 2020 after first seeing it listed in mid-April, 2020. The escrow period was two-months long.
The negotiation process was grueling and I also remember feeling conflicted on whether to buy our existing house. But back then, I had a strong catalyst to move to a larger house due to the lockdown. In addition, the ground floor remodel of our old home was taking much longer than I had expected. I refused to be stuck living in a construction zone with a baby and a toddler.
As I scroll through my pictures and videos since 2020, I get nostalgic seeing all the many joyous memories we've had in our existing home. From our daughter's first steps, to the kids sliding into an inflatable pool on our deck, to the room where I finished my first traditionally published book, I'm going to miss our home.
But all good things must come to an end.
How To Break The Emotional Attachment Of A Home To Buy A New One
After I bought our current home in 2020, I wrote a post entitled, Enjoy Your Forever Home For Now. I knew we could live in our current home forever, but deep down I doubted we would.
Based on the 12-year average duration of homeownership in America and my own track record, I felt strongly we'd be moving again before the kids left the house. The high probability of moving is also one of the main reasons why I took out a 7/1 adjustable rate mortgage for 2.125% versus a 30-year fixed mortgage for 2.625%.
I don't regret getting an ARM at all despite rates going higher. Instead, I'm thrilled I was able to save on mortgage interest expense within my window of ownership. Know thyself!
If you're emotionally attached to your home and/or struggling with moving forward to buy a new home, here is some advice. There is also a financial fear to overcome given buying a home is likely your largest financial purchase.
1) It's not the home, it's the people around you
Although we think we are emotionally attached to our homes, it's actually the people we're really attached to. The home is just a vessel that provides us a place to live our experiences for 12+ hours during a 24-hour day.
Therefore, so long as the people you love are moving with you to your new home, you won't be losing that connection. The fear of moving really has to do with the fear of no longer being around the many people you love.
Given it's the people around you that make life special, it also stands to reason that moving into a fancier home may not give you as much joy as you might expect. This may be especially true if you're already happy with your existing home.
I struggle with this scenario the most because we're happy in our existing home. If you're already happy, then there is downside risk to your happiness if you move.
2) You'll create new experiences in your new home
Although you may feel sad leaving your existing home, you are almost guaranteed to have new amazing experiences in your new home. Over time, as these good experiences proliferate and turn into new memories, you will miss your old home less and less.
But to have good experiences in your new home, you must have good people living with you. In addition, you must be thorough in reviewing all of the seller's disclosures and inspecting the home before moving in. Fix known issues beforehand to minimize buyer's remorse.
Here's a post on warning signs to look for before buying a home. I highly recommend you go through them all and be as thorough as possible before releasing contingencies. Once you release contingencies, your earnest money deposit is 100% at risk. All you have left really are closing delay tactics.
3) It's good to spend more of your wealth as you get older and wealthier.
Most of us will get wealthier over time, especially those who read personal finance sites like this one. Given we want to maximize our lifestyles with the wealth we've accumulated, upgrading homes more frequently than average is common.
Compare your emotional attachment to your existing home with the emotional attachment to your money. Which one is worse? I say the emotional attachment to your money is worse especially if you never spend it.
At the extreme, you might be a hoarder who never gives and only buys one-ply toilet paper. Despite working long, stressful hours for decades, you would rather continue renting a studio apartment so you can die with millions. In this example, there is clearly a psychological block that needs to be broken when it comes to spending money.
Spending your wealth as you get wealthier is a responsible way to consume. I've provided a home buying guide by income and net worth to help people do just that. Since we spend so much time at home, buying a nicer home is the ultimate way to reward yourself for all your years of labor, discipline, and investing.
4) A new adventure to make life more interesting
Instead of lamenting about the things you'll miss leaving your current home, think about a new adventure that awaits. A new home in the same city in a new neighborhood creates one new level of excitement. A new home in a new city, state, or country creates another level of excitement!
Many of us fantasize about living different lives. We imagine what life would be like if we went to this college, took that job, or married the one that got away. Alas, the best most of us can do is live one life and moonlight on the side!
No matter how rich you get, you can only live in one home at a time. Being able to live only one timeline is an equalizer between the rich and poor. Hence, if you're just a regular person looking to spice things up, buying a new home is a way to keep things fresh.
Self-Discovery Couples Therapy Session
One of the things I discovered about myself during this latest home-buying process is why I'm so open to moving every 2-4 years and my wife is not. Besides the pain of packing, my wife grew up in the same home from elementary school through sophomore year in high school. She experienced home stability.
I, on the other hand, moved around every 2-4 years for 14 years due to my parents' work for the U.S. Foreign Service. Every move was hard because I had to leave my friends behind. But every move also provided a new and exciting adventure! I was forced to make new friends, get to know a new culture, and get acclimated to a new environment.
I've lived in San Francisco since 2001. From 2001 – 2012 I was able to scratch my itch for adventure by regularly going on business trips to Asia and around the States for work. From 2012-2017, I continued to fulfill my adventurous spirit by traveling to Europe and Asia each year with my wife.
Getting The Itch To Move Again
However, since 2017, we haven't flown anywhere together because we decided to vacation locally until our daughter turns five at the end of 2024.
As a result, I scratched my itch for adventure by buying a fixer in 2019. Remodeling it was a 2.5-year ordeal. A year later, we bought our existing home and rented out the fixer. With the lack of desire to relocate to a new country, I figure buying a nicer home is a reasonable compromise.
Here's a podcast episode I record with my wife about overcoming the emotional stress and fear of buying a new home.
5) You can always rent out your current home
One of the ways to hedge against the regret of buying a new home is by renting out your existing home, if you can afford to. If you decide your new home is not for you, you can always sell or rent it out, and return to your previous home once the tenant's lease is up.
For the millions of homeowners who locked in a low mortgage rate during the pandemic, renting out their home and buying a new home makes economic sense. From an emotional attachment standpoint, renting out the current home they enjoy makes even more sense.
Just know that finding good renters might take longer than expected, especially if you're looking for renters during the winter holidays.
Our Decision To Rent Out Our Old Home As A Hedge
When we bought a fixer in 2014 we had lived in our previous home for 10 years. We had grown emotionally attached to our previous home in The Marina district because it was the home we thought we'd raise our children in. However, work got in the way and our biology didn't cooperate, so it ended up being just the two of us in a 2,070 sqft home.
The fixer we bought was 1,720 sqft with one less bedroom in Golden Gate Heights. We thought it was the perfect-sized home for a couple to live out our days. However, because we were emotionally attached to our old home, I decided to rent it out for three years just in case a baby did come and we regretted moving to a smaller home.
Renting Out Our Home Gave Us Time To Decide
After one year, we no longer missed our old home and our old neighborhood. It was refreshing to explore new hikes and eat at new restaurants in our new neighborhood. When our son finally arrived in 2017, we had little emotional attachment to our old home in The Marina. A quieter neighborhood suited us better for our new stage in life.
In 2017, we sold The Marina rental and reinvested the proceeds in 100% passive income investments. These new investments helped buy back time and reduce the stress of managing the property. The stress reduction alone was worth the sale of the property.
Given we can earn up to $250,000 / $500,000 tax-free if we've lived in our rental for two out of the past five years, we felt we made the right emotional and economic decision.
Be Free From All Attachment Is Better
Buddhism teaches us that desire is the cause of all suffering (dukkha). To reach enlightenment, we must let go of our desires.
Unfortunately, most of us can't break our greedy habits, so we continuously desire bigger homes, more money, more status, and more everything. The best most of us can hope for us to find some balance in our lives.
Although it's somewhat disturbing to be emotionally attached to our existing home, I'm more disturbed about why I can't be more satisfied with what I have. Seriously, why move if we're already happy?
For me, the answer lies in consumption smoothing and trying to maximize the return on my previous efforts to work, save, and invest. If I don’t take advantage of this new home opportunity, I feel like I will look back with regret.
May Not Be Happier Buying A New Home
But I've talked to plenty of people who've bought nicer homes before who say they are no happier after moving. In fact, some became less happy due to the increased maintenance headaches that tend to come along with more expensive homes.
So in a twisted way, I embrace being free from emotional attachment as a way of moving on from my existing home. If we do end up buying this new home, I've promised my wife we won't move for at least eight years. We did so before when we didn't have kids in our Marina home. We can do so again until our daughter finishes middle school.
Since we plan to live in San Francisco for another eight years or more, I'm looking for a new adventure with my family. The pandemic gave most investors an unexpected financial windfall. I'm very grateful. Therefore, I plan to take full advantage by buying a nicer home.
With the stock market so strong, I don't mind selling stocks to pay cash for a new house. Real estate and stocks are correlated. As interest rates decline in 2024 and beyond, I expect real estate prices to catch up again.
Reader Questions About Emotional Attachment
Do you have emotional attachment to your home? If so, how were you able to get over your attachment to buy a new home? Have you ever found yourself satisfied with what you have only to seek out more? Why do we do this? And how do we overcome this cycle of desire?
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Hi Sam. What is your personal view of living in San Francisco these days? Has overall quality of life changed for the better over the past 5 years? I’m not sure what to believe since media outlets portray SF differently.
I think it’s improved with work from home, more Parks, and more services out on the west side of San Francisco.
The media likes to focus on the negatives of San Francisco and the two worst neighborhoods in San Francisco where regular people do not live, certainly not wealthier people.
It’s par for the course given how much wealth creation there has been in this city and the area for the past 25 years. I’ve lived here since 2001 and the media has always been like this.
But the pandemic really agitated a lot of people and highlighted more of the problems over social media. The people who cannot afford to live here, moved out and vocally highlight but they left behind over social and the news a lot. Totally understandable.
As a city, we have problems like other cities. We also have a bloated budget and some government corruption.
Hi Sam,
Thanks for your ongoing writing and efforts. It’s greatly appreciated!
I learned from this post that we share something in common — I also grew up in a Foreign Service family and moved every 2 years until high school. It absolutely affected how I view home and stability. After college, I had to consciously and deliberately make a decision not to keep moving around, and stay somewhere so I could learn how to be happy doing that.
Curiously though, I am quite attached to my current home, which I’ve now lived in for 20 years. I don’t think it will get much better in another house. Could it be because I’ve lived in so many different situations? As you noted, it’s not the place as much as the people and experiences.
However, the urge to spend more and more time in other countries seems to grow with each passing year! Perhaps I can buy something overseas, and rent out our current home part time. I’m not sure if that’s realistic… :-)
Thanks so much Sam for your website and information about FIRE. I learned a lot from your site!
My eventual goal is 5M with no liabilities.
I am about ~2.3M now with some mortgage debt. I thinking of cutting back in on work June 30, 2025 but my spouse and I would still have to work for a while longer for monthly expenditures and health insurance.
-Ell
You are welcome! Thanks for visiting. Sounds like a good go to have, especially with no liabilities!
You can subscribe to my newsletter and listen to my podcast as well to help you stay motivated toward your financial goals.
Thanks for replying!
Your quote “Finance Is The Language Of The Elite Only If People Don’t Learn It” really hit me.
So true.
Hey Sam, for someone like me who is educated (physician) but has never taking a formal business or economics course ever in life what is the best way to learn? Is it better to learn economics or learn finance/accounting or both? Best way to learn Coursera, etc?
You Retiring at 35 after 13 years in the corporate sector with your net worth is amazing, congrats. I am ~5 years older than your current age.
-Ell
The idea of renting out a home to move back in after others have lived in it and inevitably damaged it (not treated it as their own) doesn’t sound appealing. Ending up in a squatter situation also doesn’t sound appealing. Wish I could get with the idea of being a landlord or buying a used home but neither sound appealing to me for numerous reasons.
David, have you remodeled a home before? If not, you’ll realize it’s pretty straightforward and not hard to change fixtures and paint walls.
Have you been a landlord before? Being one can get tricky without the right screening.
In the middle of a remodel as I type this and will likely never do another. It’s the worst! I think I would just move first. It’s also a reason why buying a used home doesn’t sound appealing. No desire to ever redo flooring, cabinet finishes or countertops in a home unless it’s done before I move into it.
I hear you about the tricky part of being a landlord and the importance of proper screening but is that piece alone bulletproof against nightmare scenarios like squatters?
Ugh, I hear you on the pain to do some remodels. I guess where I was thinking was on cosmetics.
Renters usually just rough up the carpet and walls. So those are easy to replace and repaint.
Related: https://www.financialsamurai.com/why-home-remodeling-always-takes-longer-and-costs-more-than-expected/
Nothing is a guarantee bulletproof with getting bad tenants.
GL!
Some people are more relationship driven and once you have kids a lot of people become part of the community making it more difficult to more as we age.
I’ve moved three times in 13 years. Each time has been an upgrade in terms of square footage (space), construction quality, and peace of mind. Each has also been a slight downgrade in terms of neighborhood, and proximity, although each new location also brought new and surprising upsides like better neighbors, and newfound amenities and conveniences.
I prefer to move every 5-10 years. Like you it helps me orient myself towards progress. It’s a very tangible thing, where we live. It is emotional. And there’s emotional health, strength and resiliency found in surviving and thriving in the face of change. I always tell the people that are coming with me that it’s us that matters most. Like you said.
We’re not breaking up with the past, it’ll always be with us; but we are reaching for the future. That happens best when we design our lives rather than just letting them happen to us.
Sam,can i ask for your opinions
I am planning to buy new land for my future home.i am currently live in east side of the city.
There is 2 options
1.east side
Pro:
A.i dont need to change my lifestyle as much since i live my whole life here.my office is also located in the area.i am a businessman,i am currently only go to office 2-3 days a week. Prob one day i will go even less to the office,but i never know.
B.i dont need to move my daughter’ and son’ school.
I have 2 childrens.they are 3 years apart.sometimes i feel worry if they move to new school and have a hard time to adjust to their new school.
Cons
A.not many options
There isnt many options to choose in the east area.its so crowded.
Its either located with street that only 6 meters width or its size isnt what i am looking for.
B.the price is way overpriced
Since there isnt many vacant lot,the price of good locations is very high.i dont think i will be able to get a good location and size in this side of the city.
2.west side of the city
Pro
A.this area has plenty of good options
This side has plenty of good options with good size and good price.its less crowded as well.
B.more affordable price
So the west side is new developing area. It has many attractions as well.but its less crowded since its only has been developing the last 15 years.
Cons
A.about an hour from my office
Its an hour drive from my office,but i only go to work 2-3 days in a week.
It can be over 2 hours during peak hours.
B.i will need to move my children school
So if i can summarize it,its more about location vs affordability+ size
Thanks in advance ,
Denny
Our house is good enough but not great. Bought it 19 years ago with no mortgage and have accumulated much more weath since then. We considered moving to a “better” house a few years back but I hate moving and the prep for sale headaches. I think the only move we’re making is when we downsize (may end up spending more to get our ideal location).
I have a unique situation in which I live in a lower cost-of-living state (Texas) and had bought a really great house during the pandemic. However, with some of the changing cultural trends as well as climate trends, we’re looking to move somewhere cooler and more aligned with our views (thinking Pacific NW). Sam – do you have any articles that address this issue (relocation for better environment overall, but having to give up a great primary home?)
Thanks in advance!
We made the choice to buy a house last year and sell our old house this spring. Most of the emotional points you raised have happened to us during this transition: Buyer’s remorse, leaving good neighbors behind, a larger house with larger problems, unforseen issues that the home inspector did not find. Also, there are the positives, especially learning to spend money now while we are healthy and can enjoy a good life rather than hoard cash for no good reason. In ten years, probably we will be happy that we decided to move house.
However, we probably do not have the energy to buy another fixer-upper again.
What type of unforeseen problems did you encounter after moving to your new house?
I’m trying to be Sherlock Holmes here for everything before we buy.
Once your cash reserves and liquidity have been replenished, you won’t regret the purchase at all.
It is an older 1961 vintage house, and probably in need of a gut remodel but we did not plan for that going into the purchase.
The biggest issue was that the roof had “excessive granular loss” according to our insurance company and after some arguing they gave us one year to have it replaced. That is not a lot of time to schedule a roof replacement, as it turns out. Sure, the shingles were old but the roof did not leak. The roof had two (!) different solar panel systems installed and required a third party installer who was approved by both solar systems, which triggered an inspection and followup code upgrades. The process was very stressful and required coordination between several parties.
The kitchen remodel was not permitted, which can be okay but these jokers added a wet bar and did a plumbing stunt that is ridiculous and caused mysterious slow drains in the laundry room. I spotted the problem after opening up some drywall. The fix required a roof stack vent to be added.
The West Coast 2023 torrential rains revealed that the gutters were lousy and the crawlspace was also flooding. So, a sump pump will need to be installed.
The water pressure regulator was beyond repair and needed to be replaced. But, the regulator was installed incorrectly, according to code, and needed to be moved closer to the house. This small detail ultimately required a new water line to be tunneled from the meter to the house. I am glad we upgraded the water line, but I wish the fix had been performed by someone else in the past.
The seller had piles of belongings in the house which hid damaged drywall. The inspector did not move any items to look. Yes, there was some mold because of this water, but I did not press the issue and am handy with drywall repair.
Updates to the bathrooms: Fancy looking remodel using cheap fixtures, poorly sloped shower pan, inadequate ventilation. These are details that will not show on a home inspection report but are important to having a usable house.
Termite damage: The seller and previous seller had repairs made and tenting done. But where there is discovered termite damage, expect there to be surprise termite damage found in the future. I have determined that this is the cost of home ownership.
Positives: the house is on a triple lot in the San Jose suburbs. One witty friend asked where I park my Gulfstream. The space has fruit trees, a large front and back yard with an above ground pool, gazebo, pergola and room for my newly planted vineyard. It is an oasis amidst the surrounding housing infill, a diamond in the rough, and a project for many years into the future.
Oh man, thank you for sharing these gory details. VERY helpful though!
“The biggest issue was that the roof had “excessive granular loss” according to our insurance company and after some arguing they gave us one year to have it replaced.” – Did the insurance company force you to replace the roof before they agreed to insure your home? I don’t think I’ve heard of this before. How did they find out it had excessive granular loss?
“The West Coast 2023 torrential rains revealed that the gutters were lousy and the crawlspace was also flooding. So, a sump pump will need to be installed.”
I hear you on this one! Lots of home leaked where they didn’t previously leak before. The high winds that ht vertical walls were big culprits for leaks. And given the rain was nonstop, the leaks finally became noticeable and significant for some.
Curious, what are lousy gutters though? I know need to clean the gutters and also put filter claws on the holes or filters above the gutters. But what else? Leaky pipes and clogged pipes full of buildup and debris? I’ve seen super old pipes have like 10% flow due to all the gunk built up.
“The seller had piles of belongings in the house which hid damaged drywall. The inspector did not move any items to look. Yes, there was some mold because of this water, but I did not press the issue and am handy with drywall repair.
Updates to the bathrooms: Fancy looking remodel using cheap fixtures, poorly sloped shower pan, inadequate ventilation. These are details that will not show on a home inspection report but are important to having a usable house.”
These are things that should have been caught and noticeable by the inspector no? I look behind everything and bring my leveler, water meter, and other stuff when inspecting a house. And I visit the house at least five times for an hour or more each time to inspect it with my wife and/or friend.
I’m glad you fixed a lot of the issues. A triple lot sounds wonderful! Having a lot of land in a city really makes a home feel special.
“Did the insurance company force you to replace the roof before they agreed to insure your home? I don’t think I’ve heard of this before. How did they find out it had excessive granular loss?”
An underwriter inspector drove to the house a week after we purchased. The inspector looked at the roof from the ground and made the decision. Our options were to find a roofer to verify that there was at least 5 years of life left or get a new roof before the policy expired. There was a threat of cancelling the policy on the spot! Even our roofer had not heard of granular loss being an issue before. And uninstalling and reinstalling solar panels is a lot of work, if you can find an installer willing to touch someone else’s system–not many will. This repair blew a hole in our budget.
Regarding the gutters, they were clogged and when I attempted to snake the downspouts, my wire managed to punch through rusty spots. Downspouts were also not placed well to divert water away from the foundation. That has been changed and we now have new gutters and leaf guards and it is wonderful.
We bought the house in a private sale, and I think the sellers felt less pressure to prep the house for inspection because we provided a rent back option to them. And I did my best to inspect the house in a limited amount of time during the “guided tour” provided by the owner. That should have been a red flag. We relied too much on the inspection reports as a basis for buying. Their quality, in my experience, is all over the map. This one pointed out every crack in the sidewalk as a tripping hazard but missed a lot of more important details.
Got it. I guess that’s one good and bad thing about getting a home with the mortgage. The inspectors will be more critical and watch out for things before willing to insure your home.
It’s amazing how brittle and rusty those pipes get after 60 years. I found a couple of rusty pipes with holes as well for this house I want to buy. May the seller change them all in the crawl space.
We were thinking about doing a downspout, from the gutters going into the house through the crawlspace into the sewage line. But supposedly cutting it and making downspout where the water flows outward, and maybe overflow to the neighbor is not to code.
I wonder and worry about replacing a roof with solar panels on them. Because roofs don’t last much longer than 25 years. Do I have to get the solar panel people to remove the solar panels first, place them on the ground, and then get the roofer to do the roof, and then have the solar panel people reinstall them? If so, what a pain.
The solar panels had to come off and sit on the ground for about a month before reinstall. Safe space for storage is needed. Any breakage during the process was our responsibility and there is no mix and match for replacement panels, they all needed to be identical. Then the system needs to be inspected, code upgrades made and recertified for use. It is wise to install a new roof before any solar panels are added, but the previous owner clearly did not do that. The system was “free”, but only free to the sellers. It was suggested we throw away the 5 year old systems and install new, and now I can see why!
Got it! Thanks for the color. Ugh, what a PITA.
Good post. Im in the same boat. We sold our really nice home back in May. Wife didn’t want to sell but I wanted out because the maintenance was too much for me and I predicted major repairs coming due (AC units and windows). I figured we take the profits and buy something else without a mortgage. We looked for a resale but found nothing we liked. At the same time explored building a custom home. We’ve moved into a rental which is a challenge. To the point made above, we try to focus on the positives but it’s rough.
What’s the challenge of the rental? At least you’re saving more money perhaps and don’t have to deal with maintenance issues?
My wife hates moving. If it was 100% up to her, we’d still be in the same home we purchased in 2000. We only moved twice since then. So 3 homes in 23 years. I don’t mind moving at all if it’s beneficial. Actually, we’d probably come out ahead if we stayed in our old house. The price went up a lot. The commute is bad, but Mrs. RB40 has been working from home. Oh well…
Enjoy your new home!
Really enjoyed the post. Helpful suggestions for a topic that can be extremely stressful (esp w kids) and bring up a ton of emotions… More importantly, my fingers are crossed and I hope the new home (assuming you move forward) brings you and your family a ton of happiness. it is well deserved. You have had such a profound impact on my life and have really shaped me financially over the last decade. You were unequivocally the biggest influence on my life during the early part of my professional career.
Like you, I have two little ones…a 1 and 5 year old… I have commented about my recent home buying experience in a previous post months ago, but I will be firmly breaking your dollar amount spending guide and I’m likely biting off more than I should responsibly chew. I am someone that has saved a large % of my after-tax income over the last 15 years and have not made any major indulgent purchases. I want to maximize the house while the kids are still under our roof and have to balance that with being able to sleep at night due to potential financial stress. My wife and I are both 37 and have saved $4Mish (over 80% in taxable/non-retirement accounts) and make about $630Kish (gross) annually at the moment. I am a minority partner in a business and my income/equity is scheduled to go up for the next few years. We are in an extremely high cost of living area/neighborhood that has gone parabolic since Covid… Prices are up over 100% in the last three years and we plan to build a home. We bought the property/lot, demoed the home and are in the process of the plans at the moment.
we are scheduled to build a 4500 SF home that would cost approximately $3.5M (all in) or just under 800 a foot… New construction is going for $900 to $1,050 a foot and I can expect to have just around $200ish a foot of equity assuming values hang in. Our location is also just about as good as it gets within the neighborhood. It is so tempting to build bigger given the roughly $600 a foot spread between building costs and new construction values, but I am already dangerously pushing it!!
I will be spending OVER 5X my current annual income on this house in this interest rate environment!! Granted, I plan on putting $1M of my $4M down and financing $2.5Mish….I have convinced myself to do this given the net worth we have and the predictability of my income, even if it means we will basically be unable to save at this young age until/if my income moves higher. I also feel like Building gives me an extra margin of safety that would enable me to sell if things go horribly wrong financially. I am very stressed about it, but also excited about the life we will have and the ability to create some equity in this brutal housing market. I am understandably very mixed emotionally, particularly given I have been so conservative/frugal my whole life and now I’m going to the other extreme with this major purchase.
Hi J,
It’s a stretch, but in 2-3 years, if you maintain your income, it won’t be anymore. Hence, the key is survive for the next three years! Given your savings habits, chances are high you’ll turn out ok.
It is concerning to stretch with prices up 100% in 3 years. But at least you have investments left over that fully cover your $2.5 million mortgage if necessary.
Best of luck with your decision!
Moving isn’t easy. It can take time to come around to the idea. But once you make your mind up that it’s happening, focusing on all the positives and the new adventures to come helps a lot in letting go emotionally of your old home.
Also telling yourself that no home is perfect can help relieve the anxiety around uncertainties. And that most things in homes can be fixed with enough time and money.
You’ll build plenty of new and happy memories in your new house. I’m sure it’s one you’ve thought about for a long time and will be a great fit for your family. Congrats!