Purchasing one’s own house is big stride into a life of freedom and self-actualization. In some cases, you will need to save for quite a long period of time before you can afford to buy a decent house for yourself and your family if you have one. In most cases however, you will need to get a mortgage loan that you will repay for quite a long period of time before you can finally claim full ownership of your new home.
With the monthly mortgage repayments already inflating your monthly expenses, it is therefore prudent to take measures to ensure you reduce any other costs related to your new home.
Managing your repairs and maintenance prudently
Your new home will always look superb with beautiful furnishings and decorations all over. However, over time, the home will be subjected to wear and tear due to natural aging processes as well as through accidents. These breakdowns though happening less frequently, they always come with a huge bill accompanying them.
With little money saved in your bank account for taking care of such huge miscellaneous expenses, you might find yourself in financial distress when you are not able to raise enough funds to do repairs and maintenance for your home.
To avoid a situation whereby your home needs a major repair or maintenance and you cannot raise the cash to do it; you will have to prepare in advance on how to meet the cash requirement when the need arises. One way to prepare in advance is by having a fixed deposit savings account that you will draw from when you want to do repairs or when you are doing your regular maintenance for your home. Saving for maintenance is brilliant idea, except that you will still incur high costs which will not be economical to you.
The alternative to having a fixed deposit account for your home repairs and maintenance is getting a home warranty from the first time you purchase your new home. Unlike the normal home insurance that covers you against specific insurable risks like theft and fires, a home warranty provides you with coverage against your tubs, pools, air conditioning breaking, as well as things like roofing. This helps you to transfer the heavy financial burden of carrying out repairs when systems and appliances in your home break down to your home warranty provider.
Choosing the best home warranty provider is very important though; since different home warranty companies have different service delivery quality, different fees and different turnaround time when you make a claim. To screen home warranty providers and land on the best to cover your home; you will need to go through the independent reviews at ReviewHomeWarranties.com and other online home warranty review platforms. These online platforms will provide you with all the information you will need to know regarding your potential home warranty provider; and help you in making an informed choice from among the many providers available in the market.
Lowering your energy costs
Besides the repairs and maintenance costs associated with your new home, there are other costs that are incurred on a day to day basis that you need to put on check. Energy costs incurred in heating your new home can run into thousands of dollars if not kept in check. To help you save cash in this critical utility within your home, the first step is to reduce waste. For energy used in heating your home, you will need to insulate your home in order to reduce heat loss; and thus lower the amount of energy you spend heating your home.
Another area where heat is wasted is in your hot water heater. In normal cases, most people do not use water that is above 120 degrees Fahrenheit or 55 degrees Celsius. Lowering your water heater to 120 degrees Fahrenheit will therefore help you to reduce energy wastage in overheating water that you will again need to cool down. Tossing a water heater blanket on the hot water heater can also help in reducing the amount of energy required to heat the water and hence help you cut down on your electricity bill.
Having a new home is great achievement in life; but maintaining the house can be a costly affair. Following the above tips will help you to ensure that you enjoy your new home without having to worry about extreme repairs, maintenance and energy costs.
My name is Derek, and I have my Bachelors Degree in Finance from Grand Valley State University. After graduation, I was not able to find a job that fully utilized my degree, but I still had a passion for Finance! So, I decided to focus my passion in the stock market. I studied Cash Flows, Balance Sheets, and Income Statements, put some money into the market and saw a good return on my investment. As satisfying as this was, I still felt that something was missing. I have a passion for Finance, but I also have a passion for people. If you have a willingness to learn, I will continue to teach.