Buying a house is a huge investment, and ownership requires much more than paying a mortgage each month. Before signing on the dotted line, house hunters should evaluate their lifestyles and future goals to get a realistic grasp on what they can afford. In addition to determining how much you can spend, what your monthly budget allows, and how much money you have for a down payment, consider the following regarding lifestyle and how much wiggle room you’ll have to enjoy life. Even more importantly, safeguard your home with a customized Ann Arbor Home Insurance policy.
What are your vacation goals? What would you like to see? How long are your ideal trips and how much money do you spend on average for each trip? Consider these costs before buying a home so you can factor in these costs to your annual budget.
Lush green grass and flower beds create a “wow” factor for your home. But, do you have the green thumb to manage the upkeep on your own? If not, you could be looking at an additional $100 a month for landscaping professionals. Therefore, factor in hobbies that tack on to your monthly budget when looking for a home.
Buying a house with a pool is a huge dream, right? But, before the dream becomes reality, add up the costs of pool maintenance and servicing, energy, and insurance (along with liability if you have small children) and you may be better off heading to the neighborhood swimming hole, states House Logic.
If you’re planning on starting a family in the next few years, consider what your cash flow will look like with day care and baby expenses factored in. These can add up quickly, so be realistic about your budget.
If you’re in your 20s, you should try to save 10% of your income; in your 30s, you should be saving 15%. If you need to cut back on your retirement savings to make a home purchase work, think hard about when you’ll be able to get back to your ideal contribution levels and how much you may be losing out on during that time, explains the article.
About Thayer Innes and Freeman Bunting Insurance Agencies
At Thayer-Innes Insurance Agency and Freeman Bunting Insurance Agency, we strive to provide comprehensive insurance solutions to support Ann Arbor homeowners. Our homeowners’ policies can be tailored to meet your specific risk exposures and provides much more coverage than a traditional policy, giving you the peace of mind you deserve. For more information about our products, contact us today at (855) 395-6316.