Moving on from rentals and upgrading to your own place is an exciting time of life. You get to nail as many paintings to the wall as you'd like, without the fear of losing out on your precious security deposit. You can plant a garden, and watch as it grows each year. While it might seem like all roses, there are a few thorns you'll have to be prepared for. Here's a few things to keep in mind before you step into the home of your dreams.
- Don't forget about taxes and insurance. When you were renting your landlord worried about that stuff, but as a homeowner you will need to pay taxes and insurance to keep your property protected. The amount depends on your location. Add this into your estimated monthly expenditure to ensure you can afford to pay for everything your new home entails.
- Does a homeowner's association fit with your lifestyle? Many neighborhoods are now governed by homeowner's associations. This can be a godsend, or a curse – depending on your lifestyle. The benefits can include things like a community pool and fitness center, but they also might have regulations on what type of pet you can own. Make sure you understand all the rules before making a commitment.
- Think about the resale value. Let's be honest, if you're a first time homeowner there is a good chance you will want to upgrade to a more substantial home at some point. Consider how other homebuyers may view the potential property, even if it doesn't apply to your situation. For example, you may not have children, but a homebuyer with kids will want to be close to good schools. If there are no nearby schools, you could be excluding a lot of families as buyers in the future.
- Save for a rainy day. Now that you're going to own your own home, if it rains and the roof leaks it is up to you to replace it. If the water heater breaks, you're going to have to replace that out of your own pocket. While a sufficient down payment for a quality loan is key in the home buying process, you're going to want to have some extra cash laying around in case of emergency.
House hunting for your first home is an unforgettable, stressful, yet wonderful, time in your life. You must be prepared for disappointments, as well as elation when you finally turn the key in your very own front door. Preparation and planning will help you avoid some of those frustrating displeasures, and make that first night in your new home a much sweeter satisfaction. For assistance, contact a professional like Chris Calhoon Real Estate.