As a first-time homebuyer, you had a lot on your plate. From saving for a down payment and closing costs to keeping your credit score mortgage-ready and finding a home that suited your needs, you accomplished a lot even before purchasing your first home.
Now that you’ve closed on your home, there are still some things to consider to keep your first year of homeownership a positive experience.
Plan For Other Immediate Costs of Buying
You’ve made your down payment and paid the closing costs, so you’re done writing checks for a while, right? Well, it depends. Even if your new home is move-in ready, you’ll still have to consider various other costs for making your new home your own, including but not limited to:
- A moving company (or moving truck, at the very least)
- Exterminator, which is suggested if the house has sat vacant for a period of time
- A starter tool kit
- Cleaning supplies and lightbulbs
- Service bills to set up cable, internet, etc.
- Paint and painting supplies
Avoid Making Large Purchases on Credit Right Away
You probably avoided making large purchases on credit or opening up new lines of credit prior to closing, but first-time homebuyers should also be careful with taking on additional debt after closing.
It’s suggested to wait on making any large purchase on credit until you acclimate to the monthly costs of your mortgage, utilities and home maintenance projects.
Check out our list of purchases you should make after you buy your home.
Expect the Unexpected
Speaking of home maintenance projects, no one plans for their A/C to give out or a major appliance to break. Even if you invested in a home warranty or your home inspection came back with no apparent issues, it’s important to budget for things that could happen down the road.
Many experts suggest budgeting at least 1% of your home’s purchase price per year to spend on home maintenance costs. So if your home purchase was $150,000, you should plan to set aside around $1,500 per year as a safety net for all of your expenditures.
Don’t Turn DIY Projects Into What-Did-I-Do Projects
You’re empowered and inspired; you just bought a home, you can do anything! While even long-time homeowners have encompassed the do-it-yourself agenda to save time and money on home improvement projects, there are some repairs, ugrades and renovations that should be left to the pros. Know your limits and your expertise.
Don’t Ignore “Small” Problems
Maybe your toilet seems to constantly run or your dryer feels hot to the touch during a cycle. Homeownership comes with major responsibility, meaning you need to take care of even the simplest of issues as soon as they come up. A constantly running toilet could mean you’re wasting hundreds of gallons of water every month and an overheating dryer could mean your vent hose is clogged with lint and could be a major fire hazard.
Addressing issues upfront will help keep your maintenance costs down and will keep your home running efficiently and safely.
Don’t Start Big Remodeling Projects Right Off the Bat
Unless you bought a fixer-upper, it’s often suggested to wait at least a year before taking on any major remodeling or renovation projects. While cost is a major factor in inserting a waiting period, it’s also important to fully grasp the function and flow of your home.
What bothers you the most about your home’s layout or design? You may move in thinking your outdated bathroom is where you’d like to budget your home improvement dollars but later realize that money would have been better spent on flooring. Give yourself time to settle in!