People looking for a new home often follow patterns in their decisions about where to live and what kind of house or apartment suits them best. Home buyers want to buy an attractive house with good resale value.
Emotion and logic are two traits that can clash during the home-shopping process. Understanding how each trait affects your decision-making—and keeping them both in mind as you search for a house—will help make the process less stressful, allowing you to feel like it’s under control.
There can be unique variations to the “emotions versus logic” battle. Sometimes it’s between two spouses—one emotional and another logical (or vice versa). For some people, the battle between Buyer and seller is purely internal: they have trouble making up their minds.
So which one is the most secure to follow: emotion or logic? I want to outline why they are both important and how together—when balanced—they make a great combination. If either of these two sides is unchecked (or unbalanced), serious complications can occur, leaving you with Buyer’s remorse.
Let’s look at how emotion and logic affect homebuyers.
How Emotions Affect Home-Buying Decisions
While watching the Super Bowl this year, I noticed many commercials did not reference their brand or product designed to make an emotional connection with the viewer. Emotionally connecting with consumers can be more beneficial for brands than simply disseminating data or outcome features.
Marketers know buyers are emotional, so they aim to attach to these emotions to gain new buyers. It’s no different in real estate: complete videos like this when you list a home, combining music and moving images to establish an emotional connection with home shoppers. The more you learn to market a home’s emotional appeal, the higher its listing price will be.
People love watching others look at homes, so several television shows have sprung up around this concept. Some even feature real estate agents going on home-shopping trips with clients and camera crews following both parties as they visit properties. It can be an emotional experience, even if you aren’t usually one who feels things strongly.
Analytical, data-driven home buyers are very different from emotional or spontaneous ones.
You will probably hear the following statements from an emotional versus analytical home buyer:
- The Christmas tree would look perfect there.
- I could picture myself sitting at this table in the morning.
- The stars will look amazing from this backyard.
- This room would make an excellent play area for kids.
- Consider how much fun you would have hanging out with friends on this deck!
Notice that these statements relate to events like Christmas, having coffee with friends, etc. Emotional home buyers—especially older ones—are influenced heavily by memories and nostalgia.
A major reason for buying a home is to create memories, and buyers often buy homes with their feelings rather than using logic.
THE PROS OF EMOTIONS
The importance of memories – Having a strong awareness of the importance that memories play in our lives is invaluable. When you live in a home, every photo from that period will have pictures of it. Some people recall phases of their life by what home they lived in—I can strongly remember many houses I lived in as a child and have vivid recollections tied to each one.
Finding the right house is essential to contentment, leading people to stay in their homes longer.
Understanding of Functionality – Emotional home customers quickly assess a house’s layout and determine where things should go. Consider The average day in that space; it must meet all its daily demands as determined rather than simply following fashion or trends.
One of the most common reasons for moving is having outgrown your current house if you find a home with what you need—and maybe even more than what you bargain. The significance of the design of a house can get mislaid on the logical home buyer, who is more attentive to data. Not All square footage is created equal; you need to consider how well each space will suit your needs.
THE CONS OF EMOTIONS
Impulsive decisions – The biggest concern with emotional buyers is that they tend to make impulsive buying decisions. Suppose a prospective home buyer allows herself to think there may be multiple offers on the property she’s interested in. In that case, her emotions can cause her to make an offer too high or move forward without completely thinking through her options.
It is essential to be conscious of your emotions when making a big decision, such as buying a home.
Exhausted Quickly – Emotional Home buyers may become exhausted and settle on a home out of sheer exhaustion. If you know that home buying is an emotional process, allow yourself time to recover. The emotional aspects of buying a house are too numerous to list here. Buying a house has many ups and downs, from getting the loan under contract to performing inspections and having your home appraised.
How Does Logic Influence Home Buyers?
Statistical data, such as the number of rooms or bathrooms a house has, and its estimated value when it’s sold again in the future (should you decide to sell), are important factors for logical buyers.
Driven home buyers, who are highly logical and seek to base their decisions on facts rather than emotion or personal comfort, need lots of data. They want to know about the recent sale prices of comparable homes, what a home’s previous owners paid for it and how much money they have spent on improvements since then.
HGTV viewers are less likely to see the logical side of home buying because they tend not to be as fun. They don’t deliver a regular stream of feedback as they stride every inch of the property for the first term: instead, gathering data and then process it over a while.
Emotional home buyers tend to ask questions like:
- Is there anything that would detract from the home’s value?
- What are the prices of other similar homes in my neighborhood?
- How much does it cost to operate the building and pay its taxes?
- What are the HOA regulations for this neighborhood?
THE PROS OF LOGIC
No Surprises – Data-driven home buyers carefully analyze all the information about a house before deciding whether or not to buy it. Because buyers prepare for as many eventualities as possible before signing on the dotted line, they often face fewer surprises after moving in than those who didn’t prepare
Less Risk -Logical thinkers tend to prioritize financial security and keep a careful eye on their budgets. They will not overpay for items, nor will they make renovations that could jeopardize the resale value of their homes. Logical home buyers usually sell their homes at a fair price.
THE CONS OF LOGIC
A Home You Don’t Love– Data gives a logical homebuyer peace of mind and helps them feel secure in the buying process; however, it doesn’t address how they will feel living in the house. Because logic is the driving force behind their buying process, a logical buyer may see themselves in a home they don’t love—and be right back on the market in only a couple of years. Buyers focused on the advantage of getting a good deal can overlook the financial consequences of buying a home too soon.
Fixated On Price – It’s essential to get a competitive market value when you sell your home. If you price your house too high and it doesn’t sell right away, the bank may foreclose on it—evicting any tenants or selling off its contents. However, the logical-minded home buyer can sometimes fixate on price to such a degree that they overlook other options that could overcome this factor. A home with many qualities or in a great neighborhood may be worth more than another similarly sized house—even if it costs less!
Both logic and emotion are necessary for decision-making.
To find a home you will be happy with; you need to employ both the benefits (and problems) inherent in each trait.
When considering a home, value the data (like square footage and amenities) and its emotional impact. Think about how long you plan on living there—and if that’s something you can see yourself doing for years to come! Also, consider if this space will suit your lifestyle or not.
Remember to consider both the emotional and logical sides of buying a home: is the asking price in line with the market value? Will you be able to sell it if you need t—and at what cost? Can you make improvements without pushing your investment higher than market value?
Final Thoughts
Paying attention to the advantages and disadvantages of being a logical or emotional homebuyer will help you find a good house. Buyer’s remorse is the worst. It’s even worse when you’re buying a house since it’s likely your biggest purchase ever.
Protect yourself by being aware of your home buying process and keep an eye on the decisions you make while making them, honestly evaluating whether they were made too emotionally or analytically.
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