Buying a house just about anywhere in America can be difficult. Budgeting for a home is harder than it’s been in a long time. Fortunately, not all hope is lost. Here are some of the most common questions home buyers have about buying a house on a budget, and some practical strategies to make it possible.
Should I Hire a Real Estate Agent When Buying a House on a Budget?
Yes, especially now. Hiring a real estate agent is one of the smartest moves you can make if you’re trying to stretch every dollar.
Here’s why you should hire a real estate agent:
- Competition is fierce. Older buyers looking to downsize, investors with cash, and persistently low inventory mean you’ll need someone who knows how to navigate roadblocks.
- Emotions can cloud judgment. Buying a home is stressful, it’s easy to make rash decisions. A good agent helps you stay calm and focused.
- They save you time and money. Without an expert, you may waste hours chasing unrealistic listings or overlook hidden costs.
Think of a real estate agent not as an expense but as an investment in making sure your budget goes as far as possible. Finding the right agent for your needs is key.
Should I Waive Inspections to Get the House?
Generally, no. Waiving inspections to make your offer more attractive may be tempting—especially when you’re on a tight budget. But skipping this step can backfire in a big way.
If the house has serious issues (foundation problems, mold, septic system failures), you could face thousands of dollars in unexpected repairs. And since homes today are extremely expensive, that’s money you likely don’t have to spare.
If your budget is stretched thin, waiting for the right house—or negotiating repairs instead of waiving inspections—can save you from financial disaster later.
How Do I Know If I Can Really Afford Buying a House?
A down payment is only one piece of the puzzle. A more realistic way to gauge affordability is to look at your full financial picture.
A simple approach is to build a quick spreadsheet that tracks:
- Income
- Current monthly expenses (rent, car payments, insurance, groceries)
- Estimated new housing costs (mortgage, taxes, insurance, utilities, maintenance)
This gives you a clearer view of how much breathing room you’ll have each month—or if buying now might leave you financially vulnerable.
Pro tip: Aim to keep your housing costs at 30% or less of your gross income to maintain balance in your budget.
For a deeper dive, check out our guide: 10 Expenses Every Homeowner Should Expect.
What If I Can’t Afford a Conventional Mortgage Loan?
If a 20% down payment feels impossible (and for many first-time buyers it is), don’t worry—you still have options.
- FHA loans: Lower down payments, flexible credit requirements.
- VA loans: Great option if you’ve served in the military, often requiring no down payment.
- State and local programs: Many offer down payment assistance or first-time buyer incentives.
Exploring these alternatives can make buying a house on a budget much more realistic.
How Much Does Home Maintenance Really Cost?
The general rule of thumb is to budget about 1% of your home’s purchase price per year for maintenance. That means a $400,000 home might cost around $4,000 annually to keep in good shape.
But here’s the catch: Even with regular maintenance, major systems and appliances eventually break. Replacing an HVAC unit or water heater can wipe out your savings if you’re unprepared.
That’s where a home warranty from 2-10 Home Buyers Warranty comes in handy:
- Protects your budget if covered parts of major systems and appliances break down.
- Connects you with quality, independent repair Pros.
- Offers perks like appliance discounts on brands such as GE and Whirlpool.
When every dollar matters, a home warranty can give you both peace of mind and financial breathing room.
Visit 2-10 today to find a plan that fits your budget.
Closing the Deal (Without Breaking the Bank)
Buying a house on a budget isn’t easy, but it’s not impossible either. With the right planning, the right support, and the right financial strategies, you can find a home that fits your needs without breaking your bank account.
