How To Budget For Regular Household Maintenance
Becoming a homeowner means that you have a lot of new responsibilities to juggle. Taking proper care of your new home will make it last longer, and save you money in the long run.
After purchasing a home, you likely understand the importance of keeping your finances on a tight leash. The structure doesn’t become any less important after you have the keys, and you want to know you have enough money in the bank to take proper care of your new piece of paradise.
Take a moment now to read through a few ways to prepare your personal finances to properly manage your new home’s maintenance needs, and start looking forward to a long future in your new home.
How to decide on a number
You need a good ballpark figure to get the savings started for your regular home maintenance and repairs. For instance, you’ll need to have your HVAC unit serviced once a year to keep it running smoothly.
As a general guideline, consider putting aside at least one percent of your home’s value every year. It’s likely that you’ll want to put more than one percent into upgrades and other things around the house, but regular maintenance costs should be covered by your base figures.
Setup a specific saving space
It is wise to set up a savings account specifically intended for home maintenance savings. When you keep your money segregated and sectioned out for specific purposes, it’s much easier to see the progress you’ve made along the way.
Save yourself the struggle of “finding” the money you need to keep your property up to par, and take a very specific interest in savings for home maintenance.
When to up the investment
When you’re considering what you should save for home repairs, there are a few key factors to consider. Consider the age of your home, for starters.
An older home may be more likely to drain the savings, so you should accommodate for age issues. Also, if you want to change or upgrade parts of your home, you will clearly need more money in the savings account.
Do it yourself when possible
You’ll save gobs of money by doing some things around the house on your own. However, you should never try to tackle something that’s simply more complicated than you can handle.
For instance, don’t try to rewire your home. Electrical systems are quite complicated, and there are dire consequences when electricity goes awry.
Invest in homeowners’ insurance
Above all else, you should invest in homeowners’ insurance. Some damage simply cannot be anticipated, and you’ll need the help of a reliable insurance company to get your home back in shape.