Don't be House-Poor 😥

Author

Kyle Reedstrom
April 01, 2024

What’s Crackin’,

This is the Midwest Invest Report. The Newsletter that will teach you about the real estate market you live in: Fargo/Moorhead/West Fargo.

Here’s the Rundown for today:

📕 Read: 8 Questions To Ask Yourself So You Don’t Become House-Poor

🎧 Listen: Episode 008 - 0% Down Payment Loans in ND

What House item did you spend too much on?

(if you don't own yet...which one would get you?)

Login or Subscribe to participate in polls.

How To NOT Be House Poor - Ask Yourself These 8 Questions

Are houses awesome…yes. Can they be a major financial trap? Definitely.

But don’t fret. It’s nothing a good solid 30 minute journal session can’t fix!

Here’s the 8 questions to ask yourself.



1. What’s my honest house monthly-budget?

Include other things like:

  • Utility costs

  • Savings goals

  • Monthly house maintenance items.

  • Taxes

  • Insurance

  • And oh yeah….Principal and Interest.


2. How can I live below my means?

Take what bank said you can afford and multiple it by 75%. Find a housing price that’s so financially comfortable, it makes you uncomfortable. It’s your first house, you will learn a lot about what you want and need.


3. What Down Payment am I committed to?

20% is an awesome place to be. But even getting to 10% cranks PMI way down each month…play around with the mortgage calculator and commit.


4. Have I factored in All Expenses?

Property maintenance and home services is like an 40 BILLION dollar industry. What costs will creep into my budget each month with this house?

5. Have I considered all costs of homeownership?

I feel like people forget about these dang closing costs. The costs for you to get money from the bank. Watch up because these fees can cost up to $10,000 out of pocket!

6. Am I going to overspend on Upgrades?

Soooo many people I see purchase homes downplay the time and effort of house projects. Will this upgrade improve the value of my property? Will it impact my savings & monthly budget?

7. Will I invest in a quality Home Inspection?

Before finalizing the purchase, invest in a thorough home inspection to uncover any potential issues or hidden costs. Addressing these concerns upfront can save you from costly surprises down the road.

8. Can I see the Future Expenses?

Use your crystal ball a bit here, it’s not hard to see what issues and projects are coming your way and put a dollar amount towards it. This could be a valuable exercise.



For further reading on this topic, check out these helpful articles:

1. Avoiding Being House Poor: How to Buy Smart and Save Money

3. The Hidden Costs of Buying a House

Remember, making a smart play with your 1st home can set you up for awesome lifestyle moves down the road!

The Midwest Invest Report LIVE 🎙

LATEST VIDS 👇

🗞 Stuff we like….

If you’re a Health Nerd…🍎

Have you heard of Gary Brekka yet!? If not…he might be your next IG binge. Gary Brekka Ultimate Human

If you’ve ever wanted to own a DT Condo…

Our team just listed some EPIC (pun intended) condos at the new project downtown overlooking Island Park. Check out these Epic Condos

If You’ve Ever Played Pickleball… 🎾

Fargo’s new Sports Complex is going to have some amazing pickleball courts, check this place out! Fargo Parks Sports Center

YOUTUBE

What To Do Next ✔

  1. If you got value from this, pass it along to a like-minded friend!

  2. Did another person send you this email? Sign up for free here!

  3. Want to sponsor this newsletter and reach thousands of people in the FM Area? Reply to this email.

  4. If you are ready for a 1-on-1 gameplan session with Kyle & team, schedule your spot here!