In 1588 Michel de Montaigne wrote, “It is an absolute perfection and virtually divine to know how to enjoy our being rightfully. We seek other conditions because we do not understand the use of our own, and go outside of ourselves because we do not know what it is like inside. Yet there is no use our mounting on stilts, for on stilts we must still walk on our own legs. And on the loftiest throne in the world we are still sitting only on our own rump." As a college sophomore studying philosophy, my professor translated this into a very simple phrase which I still carry with me 4 decades later. “Perfection is a state of being”.
What does this have to do with real estate? Everything. Unless money is no object, if you’ve ever bought a home, you know you’ll never find something that checks all the boxes. Compromises need to be made. Maybe you can’t afford a home in Southern Marin, but you can go a little further north and get more bang for your buck. Even going north you might compromise on the school district, the size of the house, or you may end up on a busier street and not a cul-de-sac.
It’s not just where you buy, it’s what you buy when you make compromises. Every house needs something. Maybe it’s drainage. Maybe the house needs a new roof. Or in my case when I bought a home it needed everything. I would have preferred a house that was completely remodeled, which our house became in time, but it was what I could afford so we made compromises. And you know what? The house was perfect for me and my family.
The bathrooms were original from the early 1960’s, and the kitchen hadn’t been remodeled since the early 1980’s. There was no drainage, the pipes under the house would eventually need replacement, the roof was at the end of its serviceable life, and the bottom of the pool had cracking, discolored plaster and many of the tiles below the coping were missing. It didn’t matter, the house checked the most important boxes for us. I didn't want a pool, but we consistently swam in the pool because the water was clean (and because I was paying for it), until I could finally afford to redo it. We replaced the roof in the nick of time, right before it began leaking into the house. In stages we put in drainage all around the house and in the backyard. Under the house we installed a moisture barrier and eventually we did earthquake retrofitting. We did work when we could afford it, and until that time we appreciated owning our own home and living under that questionable roof. Meanwhile the home value appreciated for us and we gained equity.
As a home buyer it’s important to compromise and accept what you can afford. The market is highly competitive, and if you are lucky enough to purchase a home, you’ll have your own mortgage to pay instead of someone else’s. The value may not go up the next day, or even the next year, but if you have patience, you’ll see the value go up. And that imperfect home, or perfect home as Montaigne would make the case, will be one of the best investments you will ever make.