Purchasing a new home changes your financial game in life. Maintaining a home you are purchasing takes a lot of time and money. You’ll definitely need to include the full scope of owning a new home in your next budget plan.
If you’re not sure what the upkeep costs will entail, take some time for a little research. Check out this brief compilation of a few personal finance tips for new homeowners, and start planning today.
Invest in regular pest control
Pest control is a natural part of caring for your home. If you want it to remain pest free, you have to take action. Even the cleanest homes provide an attractive spot for pests to reside.
If you have food in your home, you could have pests. It’s best to factor in regular pest control visits into the budget when considering home maintenance costs. Treat your home regularly from the start, so pests never have the chance to investigate.
Find a quality homeowner’s insurance
Every homeowner needs a quality homeowner’s insurance plan, so you have coverage should something unexpected occur. Damage to your home can be pretty expensive to repair, so don’t rely on your savings account to cover the gap in a troublesome time.
Instead, let your insurance company tell you that it’s all going to be okay as they cut you a check. Prepare for the worst, and invest in homeowner’s insurance.
Work to maintain an emergency fund
Emergencies do happen sometimes, and not all emergencies are insurance worthy. For the more manageable issues, you should work to maintain an emergency fund for your home.
Your emergency fund should be separate from your savings account, and the two collections should be clearly distinguished. Your savings money should be tapped for other things like home improvement projects.
Monitor your utility usage closely
When you get into a new home, you don’t know what your utilities will cost. It’s wise to keep a close eye on it for a while. You should get a feel for what the average cost of utilities in your home is so you know if there are ever any signs of trouble.
If a bill is unusually high, you may need to investigate the issue further. There could be a mistake in the meter reading, or you could have a bigger issue with your home.
Always remember your mortgage payment
It seems like a no-brainer to pay your mortgage payment on time, but some homeowners are terrible at keeping up with dates. Paying your payments late can damage your financial reputation, and missing payments can easily lead to foreclosure. Don’t play a game of “let’s see what happens” with your mortgage.