A Letter to the Buyer

Dear Home Buyer,

I know buying a home right now might feel overwhelming. The headlines are all about record-breaking prices, rising interest rates, and bidding wars. But here’s the thing—it’s not impossible. It just takes smart planning, the right information, and a strategy that works for you. The market has changed, but that doesn’t mean you can’t navigate it successfully.

There are so many factors that go into buying a home—credit scores, down payments, loan types, location—but at the end of the day, it all boils down to affordability. No matter what the market is doing, what truly matters is what you can afford. And that’s where the numbers start to make sense.

The Key to Buying: Your Monthly Payment

When it comes to getting approved for a mortgage—and making a smart purchase for the long term—your monthly payment is what really matters. Lenders look at your debt-to-income ratio (DTI) to determine how much house you can afford, and that’s based on what your monthly mortgage payment will be. It’s not just about the price of the home—it’s about what it will cost you every single month.

Your monthly mortgage payment includes:✔ Loan Principal & Interest – This is the bulk of your payment and depends on your loan amount and interest rate.✔ Property Taxes – This varies by location and affects affordability significantly.✔ Homeowners’ Insurance – Required by lenders to protect your investment.✔ PMI (Private Mortgage Insurance) – If your down payment is less than 20%, you may have to pay this extra cost.✔ HOA Fees (if applicable) – Some properties have homeowners association fees, which add to your monthly payment.

It’s easy to look at home prices and feel discouraged, but what you should really be asking is: What does this home cost me per month? That’s the number that determines whether a home is in your budget—not just the price tag.

Why This Matters for Resale

A home is not just a place to live; it’s also an investment. And just like you care about monthly payments, future buyers will too. If you buy a home with a reasonable payment and good resale potential, you’re setting yourself up for financial stability. This is why affordability is key—not just for you, but for the long-term value of your home when it’s time to sell.

Planning for the Right Opportunity

The real estate market is cyclical. Prices go up, then they level off. Interest rates rise, then they come back down. If you look at past trends, you’ll see that the housing market always shifts, and opportunities always return. The key is to get yourself in the best financial position so when the right home comes along, you’re ready.

Don’t let the big numbers scare you. There are first-time homebuyer programs, low down payment options, and strategies like house hacking (renting part of your home to offset costs) that make buying more accessible than you might think. Educate yourself, work with people who understand the market, and most importantly—focus on what you can afford, not just what’s happening in the news.

You’ve got this. The market will always change, but the goal remains the same: finding a home that works for you, both now and in the future.

Sincerely, Someone Who Believes in Your Buying Power