The cost of a buying and owning home is not cheap, and it is the single most expensive investment you’re going to make in your lifetime. This is not including anything extra that needs to be done to the home, the fees and payments that you send out to extra people such as inspectors or specialists, or what you pay your real estate lawyer and agent in the process. This means budgeting for those unexpected as well as costs, or if you find that increasing energy efficiency throughout your home is a must.
Ongoing Costs For Home Ownership Property Taxes: The taxes that you pay on your property have a lot to do with the property itself, as well as the land that you have around it. The bigger, nicer and fancier the house and land, the more taxes you’ll have to pay. The surrounding area and neighborhood also has a lot to do with this price. Know how much those in the area pay for their homes that are similar to yours, and budget for a bit increasing rates and special assessments. Property taxes rarely go down. Interest Rates: If you've got an adjustable rate mortgage, interest rates can change from month to month, sometimes with little warning. If you're unprepared for extra expenses, you may want to choose a fixed rate mortgage. Choosing an interest rate structure that works for you is essential. The difference between a .05 or 1 percent change can be the difference of $30,000 over the life of your loan. Before you sign that paper, make sure you know if you have a fixed or floating rate and what exactly the rate is. You need to have agreed to the rate previously with the bank prior to signing the closing documents. Read the fine print! Preventative and Regular Maintenance: Any maintenance that needs to be done to the home should be budgeted for. This includes the windows, doors, systems and other areas of the home. The roofing and siding should be in great shape and if not, then you need cash or a financing plan to replace or repair these areas. Keep in mind that by installing more energy-efficient windows and doors means you'll cut down on your heating, cooling and electricity, so there is a trade-off. Expect the unexpected: If you’re shopping for a home, know that there will always be surprise costs. Things wear out or break unexpectedly, and damage happens. It's a good idea to have a sum set aside for those repairs or replacements you didn't see coming. While we can't help you control all the costs associated with home ownership, there are things we can do to help you keep those costs to a minimum. We install exterior home improvement products that are energy-efficient, low maintenance, and long-lasting so you can keep your energy bills and upkeep costs low. To find out more about what we can offer you, give us a call today for a free consultation. We are a licensed MN home improvement contractor providing exterior remodeling services such roofing, siding, gutters, and replacement windows and doors.
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