New homebuyers are confronted with a large selection of homes for sale. Traditionally, smaller homes have always been less expensive than bigger homes.
This has helped narrow down the selection for new buyers since they usually have to stick within a limited budget. The fluctuating mortgage rates in the past few years have added a new dimension to home buying.
In recent years many large homes have been built. Due to the economy these homes have now become far less valuable than they used to be. This has forced homeowners to put them on the market for much less than they paid for them.
The low price of large homes is encouraging many new buyers to jump into the market at the higher end of the spectrum.
Mortgage rates are favorable at the moment and are making this leap into the higher end of the market much more affordable for the average buyer.
New buyers should be aware of the extra costs that bigger homes bring with them before they jump at the chance to buy a big home. Homes have to be regularly maintained and repaired to keep their market value.
Owning a large home means that the repair costs will be bigger than for a smaller home. Replacing carpets and roofing the home will cost more because of the larger spaces involved.
There are more rooms to heat or keep cool and if the house needs to be repainted there is more area to cover with paint. Large houses tend to have big yards that need to be maintained.
Monthly utility bills are higher for large homes and if the home regains some of its former value the tax bills will also go up. Big houses have more rooms to clean and keep tidy.
Working families may have to hire a cleaning company to keep a large home clean. Living in a small home allows people to spend less money on furnishing the home.
A large home usually has rooms that no one uses but these are often kept furnished anyways. Many people with big homes gather a large amount of useless items in their home so that the home will not look so empty.
Small homes encourage a simpler lifestyle where life is not ruled by all the stuff that is owned. When kitchen counters and cabinets need to be replaced in large homes it can cost a fortune.
Small homes are much cheaper to upgrade and buy quality replacement parts for. As energy costs rise small homes will continue to be affordable to heat.
Selling a small home is a lot easier than selling a large home because more people can afford to buy smaller homes. Mortgage rates may rise making big homes even harder to sell.
Buying a large home may be a good choice for some, especially those with large families, but it is not necessarily a good deal for the average buyer when all costs are added up.