Ask yourself if you can live with these payments. If not, rethink your spending limit. Your new home should give you great pleasure, not hold you hostage. When you relay your price range to a real estate agent, ask to view properties within that range only. By restricting yourself, you'll avoid disappointment later on.
Curb appeal can be a powerful force.
To counter its effect, you must be objective. Look at many homes, including an assortment of types of homes. When you view a property, list the positives and the negatives. Recruit a friend to view the home and provide you with objective feedback. Also, think about how long you plan to own the house.