If you were to look at higher priced homes and were able to get them to come down to your budgeted pre-approval, they may not have any room left to assist you with paying your closing costs.
Stay in your budget or work with your lender to find out what items are holding you back. You may find out by paying off a couple small credit cards that your budget increases to purchase.
Best of luck to you in your search. With rates this low, itâ€™s a great time to be a buyer.
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Chris Schilling, ABR, GRI, CRS, GREEN
I was asked this so many times by people who thought that a "low ball offer" would be fine, that I sat and did the math for sold houses in the last 6 months for 5 communities. Of course exceptions do happen, but hardly ever.
When you get a preapproved number, it will be at the top of your ability to pay, and may be higher than your actual comfort zone. $70,000 isn't very much money to find a house in most of the area, and that house will need repairs- an additional expense. You will likely need "all cash" for anything under 50,000.
I think you should seriously evaluate what you can spend monthly, what you have for repairs, and what you have for the closing costs,downpayment, and taxes. If you can cover it, then I would be in favor of looking at the highter price point.
But you don't want to be house poor. You want to bs able to do repairs and fix ups and go to a movie or out to dinner now and then or afford a vacation.
Your Realtor is giving you good advice.
In my opinion, concentrate your search efforts on homes within your price range and utilize the advantage of having been pre-approved in advance.
I wish you the best of luck and happy house hunting.