Once they start looking for a home, 43% of people have to raise their budgets, says a BMO survey.
And it’s no small adjustment—people who have to revise their price ranges increase them by an average of one-fifth of their total budget, or $83,556, says the survey.
So what to do when a client is looking at homes outside of their means?
Advisor Group’s Suzanne Sharma has written about her own house hunt. She says she wishes her advisor had offered more guidance.
“Though our financial advisor helped set our initial budget, we would’ve benefitted from his being more hands on: working with our realtor, and telling us straight up which areas we could afford. He didn’t. … Afterward, we politely asked him to be more communicative in the future; otherwise, we’ll take our business elsewhere.”
Read more here.