Whether you are a first-time homebuyer or someone who owns a very luxurious home, it’s important to understand there are a myriad of unforeseen costs that can affect your home. Anything can happen at any time, and most homeowners are only one hidden cost away from financial disaster. Becoming a homeowner means making wise financial decisions, and protecting yourself from the unexpected. You can’t feasibly protect yourself from every single thing that might occur at home, but you can protect yourself from some of the most common unseen costs that seem to come out of nowhere and wreck your finances as well as your home.
Buy a Home Warranty
New homes typically come with a home warranty on most appliances and other things since they’re brand-new. What happens when you buy an older home, however? Unless it’s been updated with new appliances, chances are good any warranties that came with the different appliances and systems in the house are already expired. There are insurance companies all over the country that offer home warranties for sale. You pay them a set fee to provide a warranty, and they’ll fix anything that happens to your home provided it’s covered under the plan they offer.
These plans are available for a variety of prices. It might depend on the size or location of your home. It might depend on the age of your home. It might depend on what you want protected and covered. There are options, and it’s a wise decision to take out a warranty on the items found in your home. You just never know what might go wrong, and it’s a good idea to protect yourself before you are out thousands of dollars making repairs you didn’t see coming.
Don’t Forgo the Inspection
Some buyers pay with all cash, and they don’t get an inspection on the home they buy. This might make the process of buying a bit faster, but it’s a terrible idea. Home inspections are designed to protect the buyers, and there’s no reason to forgo that protection. You want to know what might be wrong with a home before you sign paperwork turning it into your home. Hidden costs pop up all the time for new homeowners, and this is one way to protect yourself from costs you didn’t see coming. An inspection might just show you these costs before they’re your problem. Your inspector will tell you if the roof needs replacement, if the insulation is in good shape, if the HVAC runs correctly, or if there are leaks or other concerns that might turn into big bucks before much longer. Don’t skip the inspection. It’s protection for you.
Keep up to Date with Maintenance
Many people ignore the importance of basic maintenance. Your HVAC, for example, should be maintained every year. It’s a small expense, and many homeowners ignore it. Why pay a company a few dollars to come out every year and check to make sure the heat and air work when you can just turn it on and see for yourself? Regular maintenance for items like this can detect problems before they’re major issues. Small repairs when they’re caught early are far less expensive than major repairs when it’s too late. Maintaining your home is a great way to ensure you minimize your risk of unforeseen costs cropping up at some inconvenient time.
Maintaining an emergency fund is what financial experts recommend all homeowners do. This fund is designed to protect you from things just like this, which are expenses that come out of nowhere and pose a financial problem. A good rule of thumb is to put at least $1,000 in this account for unexpected expenses, such as fixing a leaky roof or having some plumbing work done. It’s a wise idea to continue adding to this account after you reach the $1,000 mark so you have at least six months of living expenses in it. It’s helpful when hidden costs arise.
Courtesy TheTopTier Digital Media