Buying a home is often a very emotional and exciting experience, and it is easy to let your eagerness guide your decision making. There are a lot of mistakes that first-time home buyers make, and so it is important to be thoughtful through the process to make sure that this exciting time doesn't become one full of regrets or future financial strife.
If you have never owned a home before and are either moving out from your parent's home, or have rented an apartment or condominium in the past, you are probably not familiar with the expenses associated with it. While there are tremendous benefits in home ownership, it is important to go into the process with your eyes open and homework completed, to ensure the experience is a good one and that you will be happy in your home for years to come.
Safety and security
If you are buying a pre-existing home, or even if the real estate agent has had access to the key to access the home during the sales process, it is important to change the locks as soon as you take ownership. Additionally, consider a home security system if the home does not already have one installed. Security system ownership is on the rise. Your home is more than just a building. Your home is where your loved ones reside, and where all of your items of any value are kept. And it is important to protect everyone, and everything, inside of it.
Appliance repairs and replacement
While you may get lucky if you have a new home, if you are purchasing a pre-existing home, you will want to assess the condition of your appliances. Many older appliances can be more expensive to repair than to replace, and older appliances are often far less efficient than old ones, which can have a negative impact on your home utility bills. If you determine that you need to replace an appliance, be sure to research Energy Star certified options as these products are associated with certain standards of efficiency that are better for our environment.
Window treatments
The cost of window treatments is not one to take lightly. However, window treatments are a key element to a new home as it provides for privacy and can aid in heating and cooling efficiency. Replacing the window treatments in an older home can also help your new home to feel more personalized to you and your tastes. Further, if the curtains in your home are stained or soiled, you will want to get them properly dry-cleaned by a reputable cleaner if you choose to keep them vs. replace them.
Lawn care
If you've never had a front or backyard before, this will be a daunting experience indeed. While many homeowners opt to work with a lawncare service, the majority decide to maintain their outdoor spaces on their own. For a new home, if it was not included by the builder, you will likely have to lay sod, plant trees and shrubs, and add bark, mulch, or some sort of river rock to the property. And whether you are buying new or pre-existing, there are a variety of lawn care items that you will need inclusive of a lawn mower, trimmer, rake(s), gardening tools, etc. And if you live in a colder or snow-prone climate, you may also need to invest in shovels, ice-melt (look for more environmentally friendly options), and possibly a snow blower.
Pest control
While this might easily fit into the lawn care category, there can be both internal and external pest control needs to consider. Interior pests often include termites, cockroaches, mice, and bed bugs. While some of these can be naturally controlled with proper cleaning strategies, other pests are common in certain climates and older homes, and you will need to either take on home pest control yourself, or hire an outside service that specializes in environmentally friendly treatments. Many homeowners also look into exterior treatment options for outdoor pests such as spiders, mosquitoes, wasps, hornets, etc.
Furniture and accessories
This can be one of the most fun expenses associated with home ownership, if your home doesn't come fully furnished. And know that while you might want to, it is not necessary to fully furnish the home right at the get go. While of course this is a matter of personal preference, many homeowners like to add to their furnishings over time, adding personal and memorable touches from their travels, thrift stores and flea markets that they might stumble upon, etc. So, start with the areas of most importance where you will spend the most of your time, such as your kitchen, bedroom, and main hangout area (great room or living room, etc.).
New paint
With a new home, often this is taken care of for you, though sometimes, builders will only prime the walls or will use just a basic white unless you negotiate, or they offer an upgraded paint package. For pre-existing homes, painting your walls in a color of your choice or even with a fresh coat of the same color will help make your home feel newer and more inviting, as well as more personalized to you. Investing in a high-quality paint, and one that is more stain-resistant or easier to wipe away dirt and other smudges is a must, or you will find yourself repeating the painting process more often than necessary.
Property taxes and fines
Your property taxes are often built into your mortgage, but homeowners don't always realize that property taxes fluctuate from year to year. It is not uncommon to receive a letter from your mortgage lender that you will be subject to a change in your mortgage payment due to an increase or decrease in your property taxes. This happens with fixed mortgages too, as property taxes are indeed variable. You also need to be aware of any land covenants or neighborhood restrictions tied to your landscaping, waste disposal, rules about number of vehicles allowed in the street or your driveway, construction of a shed, etc.
Don't let these surprise expenses scare you away from your dream of owning your own home. Rather, educate yourself on what to expect for the home you are interested in, and plan accordingly. Home ownership is a wonderful thing, and when you properly prepare, you will be better able to enjoy the many benefits of having your own place for years to come.
