Don't fall into the trap of over committing yourself to a mortgage. The stress will not be worth it. It will rob you and your family of enjoyment and peace of mind. So, before you go any further, you need to know what price range you afford to look into.

You see, when you sell your home, the price you get for it will not necessarily be the price you can spend on your new home... unless of course you have some cash stashed away somewhere.

Why? Because when you are buying or selling a home, there will be expenses which will need to paid for, such as:

Real Estate Fees

Legal Fees

Moving Costs

Loan Application Fees

Inspection Fees

So once you sell your home, don't assume that your sale price is what you will end up with in your hand. Make sure you allow for the extra costs.

If you are not sure of these costs, get in touch with your lawyer, your bank, the removal company and your real estate agent and find out how much you will need to allow for.

If you find that you may not have enough money left over to buy in the price range you desire, then talk to your bank or lending institution and find out how much you can borrow.

Find Out Your Costs BEFORE You Start Looking

Once you have done the homework on your finances, you will know how much you can comfortably afford and the highest price you can go to.

If you are buying a home with the intention of living in it for several years, don't fall into the trap of focusing only on the bargains. Buying a bargain may feel good initially but if it doesn't have the features and benefits you want, it may not be such a bargain at all.

Instead, focus on the home itself. Look for the right home for you in the price range you can comfortably afford.

It's better to pay a little bit more for a home you will be happy with, rather than end up with a cheaper home that you don't like. Because getting out of a house you DON'T like can be very costly and time consuming.

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