When you buy a new house, there are so many new responsibilities that you take on. Unlike a rental, you’re required to pay for all of the upkeep in this house. It can be overwhelming. However, there are ways to make it easier. Here are some budgeting tips for maintaining your first home.
Do Regular Maintenance
While regular maintenance will require you to spend some money, it is a worthwhile investment. Your home’s systems are built with the assumption that you’ll maintain them throughout their lifespan. If you neglect this step, you’ll then have to replace massive parts of your home far earlier than you otherwise would. This can get even more expensive than your regular repairs. So make a point of budgeting in regular household maintenance. Bring in a professional to clean your HVAC system. The global HVAC market size was $240.8 billion in 2019, so there are many options to choose from.
The more energy-efficient your home is, the more money you’ll save in your monthly budget. Energy costs are a large portion of many homes’ budgets, so they are a good place to focus when trying to save money. Invest in energy-efficient upgrades when it is time to replace different parts of your home. For instance, new windows can make a big difference while also increasing your home’s overall value. Energy-efficient windows can recoup up to 73% of their cost in additional house value. So, not only will you save money on your energy bills, but your home will also become more valuable if you decide to sell it in the future.
Budget for Repairs
Since you know that you’ll have to do home repairs, you should budget for them. Put some money away each month in an account that is specifically marked for household repairs. The amount you are able to save will depend on your income and other expenses, but try to put as much money as possible into this account. Home repairs can get very expensive, especially when it comes time to replace things in your home. If you have the money set aside, you have extra security. Sometimes it is cheaper to pay in cash, which can save you money. Or you’ll be able to avoid taking out loans or using credit cards, which will save you interest in the future. Regular contributions to a home repairs fund will go a long way toward helping your budget.
If you plan out your repairs and replacements in advance, it will give you time to figure out how you’re going to pay for them. While sometimes you’ll have an emergency that needs to be dealt with unexpectedly, other times you know you’re going to need those repairs. Make a plan and use that to figure out how you’re going to pay for everything you need.
Understand the Basics
If you own a home, you want to understand the basics about the systems it contains. For instance, you want to understand your plumbing system. According to SFGate, your home’s main sewer pipe should be at least as big as the largest branch in your system. Typically, this is about four inches in diameter. Knowing details like this can help you figure out what kinds of repairs your systems need, as well as how you can maintain parts of them on your own.
Owning a home is expensive. However, with the right budget and careful planning, you can cut costs and make it easier to maintain. Keep these ideas in mind as you plan out your repairs, replacements, and regular maintenance for the next year in your home.