There are many things to do while you’re deciding whether now’s the time to move up.

·        Have an accurate picture of your finances. How much larger a mortgage payment can you honestly afford? You also want to factor in other debts and expenses, as well as your long- and short-term savings goals, like college for your kids and retirement. The general rule of thumb is that your mortgage should equal about 25 percent of your gross monthly income, but you always want to factor in some reserves to put aside each month.

·        Be realistic about how much you can get for your current house. This is critical if the proceeds from selling your current home will determine the size of the down payment for your new house. Ask us for a competitive market analysis! We will be happy to provide that for you. Also, remember to factor in closing costs – points, origination fees, taxes, title insurance, and financing costs. The higher your down payment, the lower your monthly mortgage payment and the better the possibility of qualifying for a good loan.

·        Get pre-approved. This is the only way you'll know for sure whether you can get approved and how much you have to spend on your next home. It also puts you in a much stronger position with the sellers when you ultimately make an offer.

·        Remember to do a “wants vs. needs” analysis. First make a checklist of your needs: bedrooms, garage, proximity to schools. Then move on to wants: extras like upgraded appliances, specialty rooms, spectacular views, pools and spas, patio gardens and waterfalls, etc. Move-up homes often have the “needs” covered, as well as many of the “wants.” That’s why it’s called moving on up!

In today’s market, you clearly will make less on the sale of your current home, but you will find incredible buys that will amaze you!

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