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The most effective strategy to figure out how much home I could afford started by breaking my expenses into 2 parts

couple at open house

  • Last year, my husband and I decided to look into buying a new house. We loved our first home, but it was lacking some of the spaces we needed (like an office for me).
  • Instead of looking at listings, though, we started by splitting our expenses into two columns: expenses that would likely change if we bought a house, and expenses that would remain the same.
  • From there, we figured out how much wiggle room we had, set a budget for a new home, and started looking. Our two-part budget strategy would work for almost anyone shopping for a house.
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    Source:: BusinessInsider.Com