If you are in the market for a new home and have already saved a substantial amount for a down payment. Sure, you have already sought out a mortgage or gotten a preapproval, but have you thought about some of the other costs associated with home ownership? Here are some expenses to keep in mind with your home ownership budget.
Change the Locks
The day you finally get the keys to your new home is one of the biggest days of your life! However, after getting these keys be sure to get a new set as soon as possible. Expect to spend a couple of hundred dollars when you are rekeying all the locks in your home and making extra for family members.
Not only are the new owner of a home, but also owner of many appliances from the fridge in the kitchen all the way to washer and dryer in the laundry room. Each of these appliances could cost hundreds to replace or fix. Hopefully you will make it through a few years without having a breakdown of these appliances, but it is important to start building an emergency fund for this purpose.
If you are planning on moving from a small apartment to a large home, you most likely will have to buy additional furniture at some point. You might find that the furniture you got for your apartment just doesn’t fit in in your new home. A great way to save a buck or two is to look for used furniture, you may just find that special piece.
Even if you have a very thorough inspection of the home, eventually you will encounter an unpleasant surprise. You will also want to start to budget for cosmetic upgrades, from small designs to in and around the house, all these will eventually add up, so make sure to put aside some extra money in your home ownership budget.
Deposits for Home Services
You might be required to put a down deposit for setting up a phone or internet service to get these services up and running. While the deposits might vary, it is important to include these costs in your budget. If they do run under budget, you can always use the funds somewhere else.
Buying your first home is costly but there is additional start up costs you need to know about. While being aware of these issues will not make them go away, but it will make it easier for you to deal with them.