1. You won’t get the more immediate benefit of higher sales to boost your value.
2. There may be a smaller market of buyers for your property, which could hurt in the resale market.
3. Neighbors will laugh at how much you paid compared to how little they did.
4. Is the house overpriced?
5. If your house is the largest in size, do buyers really expect such a large house in the neighborhood? Is it overbuilt?
6. There tends to be a larger pool of buyers in the middle-range, which helps these homes be more marketable.
7. There won’t be anyone to compete with for the best house in the neighborhood. It’s no fun if you can’t at least try to “keep up with the Joneses.”
8. If the market shifts after you purchase, you’ll be stuck at the top.
9. Are the features of the home appealing to a wider audience or are they strictly something very personal that you prefer? (like a yard with a Star Wars theme and golden Yoda statue).
10. What might you be able to afford in a better neighborhood at the same price?