Your first year as a homeowner can be a very expensive one, especially since you have to get all of the necessities for owning a home. You have to purchase homeowners insurance, fix problems that arise with your roof and insulation, find someone that is trustworthy to manage routine maintenance tasks, etc. It’s important not to stress about these costs though as they’ll end up saving you money over the years!
Here are a few simple tips to help you save money in your first year as a homeowner.
1. Talk to your lender about the best time to lock in a mortgage rate
Your lender can set a lock-in for your mortgage rate, which means that you will pay the current interest rate in effect at the time of closing.
This is important to do because rates are constantly changing and locking in when they are low can save thousands on your total loan cost!
2. Get an energy audit done on your home before you purchase it
An energy audit can provide you with detailed information about your home’s insulation, which helps you make the right decisions regarding any necessary upgrades.
It also helps you to determine how much money you could save on your electricity bill each month by making simple fixes!
For example, replacing windows with energy efficient windows help lower energy consumption and save money.
3. Consider installing solar panels for sustainable energy use
Installing solar panels on your roof is a great way to reduce the cost of electricity bills by harnessing solar energy.
It can also make for a more comfortable home because it will help you control the temperature in your house better.
4. Have a professional inspect your roof and insulation before you close on the house
Once you own a home, it will be more difficult to find professionals that are willing to inspect your roof or insulation.
Get these inspections done before you close on the house so you know what work needs to be done and can plan accordingly.
5. Purchase homeowners insurance
Homeowners insurance is a requirement for most lenders, regardless of your down payment amount.
It protects you against damages to your home and facilitates the claims process.
The best way to find the right policy for you is by doing research online or asking friends that have homeowners insurance what company they use.
6. Purchase a home warranty
A home warranty guarantees that repairs will be done to your appliances for up to one year after your purchase.
For example, if your refrigerator stops working one month after you move into your home, the warranty will cover the cost of a replacement.
A home warranty is very useful because it means that you don’t have to worry about unexpected repairs and can plan accordingly when budgeting.
Over the course of your first year as a homeowner, you may run into many unexpected costs.
By following these simple suggestions and doing some research on your own, you can save money on purchases and make sure that nothing gets taken for granted.