At Energy Smart New Homes, we know the joy and relief owning your own home can bring. No more worrying if management will hike up your rent every year or dealing with inconsiderate neighbors above you. No more feeling like you can’t paint or make other changes to your living space without asking permission. And after all the stress of house hunting, securing a loan, engaging in bidding wars, and navigating closing costs, finally having the keys to your new home in your hands can bring a huge sigh of relief. And Congratulations! We want to help make sure that your home is a safe haven for you and not a burden by bringing to light a few mistakes many new homeowners make in their first year.
Not Anticipating Additional Costs
It is all too common for first time buyers to only factor in their mortgage for their new budget. The truth of the matter is, though, that there are many more additional fees and expenses that come along with owning a home that it would be wise to not ignore. Fees like homeowner’s insurance, moving costs, home warranty, utility fees, property taxes, as well as HOA dues if you have them should all be considered. In addition, some sneaky expenses that you may not have thought about could be starter items like cleaning supplies, ladders, and more. Anticipating these additional costs can help you be prepared for them and not overwhelmed.
Taking on Extra Debt
Before buying a home, buyers are advised against opening new lines of credit or from making large purchases since doing so can affect interest rates and loans. Even after you have bought your house, however, it may be wise to still refrain from these actions for a period of time. Because there is such a financial adjustment after you buy your first home including the additional costs we mentioned above, it is a wise move to hold off on things like buying cars or adopting student loans. This way you will be able to save money for unforeseeable emergencies.
Rushing into Renovations
Owning your own piece of property allows you a lot of freedoms when it comes to personal taste. Which you may be excited to dive into. Especially if you are a first-time buyer, you may have made some compromises when choosing your home based on your financial ability. You may have been fine with doing so because you figured you could just do a few small renovations later to bring the home more in line with your aesthetic preferences. But, beware! Although it is so tempting and easy to get swept away with ideas on how to create your dream home, rushing straight into these types of renovations can be very costly. Kitchen and bathroom renovations are among some of the most popular ones homeowners opt to do, and they definitely do add to your home value, but there is plenty of time to make those changes. If you hold off on major renovations until your bank account recovers, it will be less risky and stressful when you finally decide to do it.
Buying a home is incredibly rewarding. And although it can be a burden on your bank in the beginning, it is definitely worth it. Hopefully with these tips you can avoid a few common mistakes at the start and enjoy your new home forever. If you have not yet bought a home but are looking to, check out our available homes! Our homes are built as energy efficient as possible. So, no matter what stresses you have, absurd utility bills will never be one of them.
By Energy Smart New Homes 2-20-2020