Started our search about a year ago with about 800k as a target for a 4 bedroom, 2 1/2 bath in NJ. Initially need that 4th because my parents were staying with us for years and we thought having a guest room would be nice too. It’s 2 plus 2 plus 2 for six of us. We also wanted a house that’s move in condition with a good backyard so the kids can play. It would have been great to see a pool but not necessary. We targeted one town due to all the friends moving there over the past few years so we wouldn’t have to restart our social life. However, supply is a huge issue as a property with good backyard is hard to come by.
However, as our search drags on and offers continue to be rejected, we kept on bumping up our budget hoping for a better result. We also went from going in doing 1 to 2 % under ask for a house that really is not that ideal and 3 to 4 over for a house we really like to doing 5% over and 10 to 15% over. Even then, we are getting beat again and again, sometimes by alot. For an example, we were bidding on a house on the offer for 800k plus, we put in mid 900k and the house closed in 2 weeks with presumably an all cash offer for 1.1m. The house needs a lot of work so we didn’t want to max it out in order to do some of that work.
We are now at 1.1m which to me is a breaking point in our monthly budget but feels like we need to reevaluate whether it is worth to continue this search or go down a level and get a 3 bedroom and 2 bath without my parents being in the picture.
We do currently have a 3 and 2 in our current town but half of my neighbors with kids moved out because the school has been horrendous here in their response. More neighbors with kids are planning to move out. From March to June last year, my daughter had maybe 4 30-min class with her teacher with my son having maybe 10. They were ill prepared and continues to be because we have a superintendent that sucks and a board that doesn’t do any pushing.
Everyone’s situation is different obviously but what would some of you do in this situation? We kept on telling ourselves that it is worth it in the end but wondering whether we really should be putting all of our eggs in one basket with us paying 1.1m potentially for something that’s not even a dream home.