DO YOU BUY PROPERTY EMOTIONALLY?

Time and time again, we see it in the real estate market: people buying with the blinkers on. 

Popular culture has always taught us that buying the family home is an emotional decision. And, don’t get me wrong, it is.

All of that emotion and heart-driven behaviour can force you to forget that it’s also possibly the biggest financial investment you’ll make in your life. What a double-edged sword it is – heart and back-pocket.

Here’s the trick that a lot of people miss: it’s possible to make a sound investment decision in terms of financial value, whilst ALSO choosing a property that pulls all the emotional heart strings.

Of course, getting that juggling act right is incredibly difficult for the average home buyer. You are torn between the input of your significant other, children, parents… and the limitations imposed by your bank manager. It can be a significant source of stress, if you try to carry the burden alone.

This is where enlisting the help of a registered buyer’s agent becomes invaluable to you.

Your buyer’s agent can remove the tunnel vision and avoid you overpaying. It’s a recurring regret we hear from home buyers – “I bought with my heart and the real estate agent could smell it a mile away. I didn’t make a rational decision.”

Whilst you may say that you’d shell out over and above to secure the property of your dreams, you simply don’t have to in all cases. Avoiding this puts you in good stead financially down the track when you’re looking to do other things with that money, like continuing your wealth creation strategy, renovating your home, going on holidays or sending your kids to the ideal school.

It doesn’t have to be the case.

Are you likely to overpay due to emotional buying?