{"id":1905,"date":"2021-09-10T14:05:53","date_gmt":"2021-09-10T18:05:53","guid":{"rendered":"https:\/\/www.skypointfcu.com\/wph\/workarea\/?p=1905"},"modified":"2021-09-10T14:06:08","modified_gmt":"2021-09-10T18:06:08","slug":"3-things-that-change-when-youre-a-homeowner","status":"publish","type":"post","link":"https:\/\/www.skypointfcu.com\/wph\/workarea\/blog\/3-things-that-change-when-youre-a-homeowner\/","title":{"rendered":"3 Things That Change When You\u2019re a Homeowner"},"content":{"rendered":"\n

You signed the papers, got the keys and opened the front door. Now, that quaint little place is all yours.<\/p>\n\n\n\n

But more freedom comes with more responsibility. A lot changes once you\u2019re a homeowner. Here\u2019s how to prepare for a few of the adjustments \u2014 emotionally and financially.<\/p>\n\n\n\n

1. You think about money more often<\/strong><\/h3>\n\n\n\n

Ideally, you start thinking about money long before you sign the papers for your home.<\/p>\n\n\n\n

Say a mortgage on your dream house would be $2,000 a month, but your current rent is $1,500. You should live at the new expense level to test it out before you buy, says Marianela Collado, CEO and senior financial advisor at Tobias Financial Advisors in Florida.<\/p>\n\n\n\n

For example, you could try putting the $500 difference into savings for several months to see if you can manage.<\/p>\n\n\n\n

\u201cYou give yourself time to adjust to living within the new cost of housing,\u201d Collado says. \u201cThis way you start getting a feel for what the new budget<\/a> is going to look like.\u201d<\/p>\n\n\n\n

For an even more complete picture of your new budget, go a step further. Collado recommends calling local companies before buying a house so you can gauge how much you should expect to pay for monthly bills like water and electricity.<\/p>\n\n\n\n

Your money mindfulness will need to continue after you\u2019ve settled into your house and placed a welcome mat on the porch.<\/p>\n\n\n\n

A budget needs to be revisited regularly, especially since you can expect home-related expenses to go up over time. It\u2019s crucial to have flexibility in your budget to cover an increase in utility expenses or a financial emergency.<\/p>\n\n\n\n

\u201cFinancial planning is never a set it and forget it,\u201d Collado says. \u201cIt\u2019s so fluid. Life changes.\u201d<\/p>\n\n\n\n

2. You need things you didn\u2019t before<\/strong><\/h3>\n\n\n\n

New homeowners will buy things they never needed before. That may include items such as a screwdriver set, claw hammer, pliers, smart thermostat and smart lighting, according to Jordan Ribelin, a Lowe\u2019s spokesperson.<\/p>\n\n\n\n

You\u2019ll probably need a basic toolkit, water shut-off tool and plunger, too, says Danny Lipford, a national home improvement expert and host of \u201cToday\u2019s Homeowner\u201d on television and radio.<\/p>\n\n\n\n

These are relatively minor, but there are big expenses, too. In an apartment, you may not have needed to purchase a washer, dryer or refrigerator because they were supplied for you. And you probably didn\u2019t need a lawn mower.<\/p>\n\n\n\n

Depending on what you already own, expect to buy appliances<\/a> for your new place. Start setting aside money for these items while you\u2019re saving for a down payment and closing costs. And keep an eye out for sales and deals.<\/p>\n\n\n\n

But don\u2019t make major purchases until you move in, advises Rianka R. Dorsainvil, CFP, founder of Your Greatest Contribution, a fee-only financial planning firm. That\u2019s because you want your debt-to-income ratio to be as low as possible at closing.<\/p>\n\n\n\n

\u201cAfter you purchase the home and you\u2019ve slept in it one night, do what you want,\u201d Dorsainvil says. \u201cBuy the furniture. Finance it if you need to and [if] you can afford it.\u201d<\/p>\n\n\n\n

3. You manage time differently<\/strong><\/h3>\n\n\n\n

Once you\u2019ve officially moved and sent out your change of address announcements, you\u2019ll quickly realize you\u2019re responsible for upkeep. That means you\u2019re on the hook when the water heater breaks or the air conditioner goes out.<\/p>\n\n\n\n

It\u2019s not just repairs, either. Lipford points out other expenses like yard work and pest control. And for maintenance, you have two options: handle things yourself or hire someone to do it.<\/p>\n\n\n\n

\u201cYou really have less free time if you\u2019re going to do items yourself,\u201d Lipford says. \u201cOr if you\u2019re going to hire it done, then you have less available income.\u201d<\/p>\n\n\n\n

Managing a home is a financial balancing act, but you can view this added responsibility as a source of pride. Homeownership isn\u2019t right for everyone, but for those who choose it, the experience is unparalleled.<\/p>\n\n\n\n

\u201cFor most people, it\u2019s just a gratifying experience when you go, \u2018This is my house. This is one environment that I can truly control. I can make it bright. I can make it dark. I can make it cold. I can make it hot.\u2019 You can\u2019t do that everywhere you go in every aspect of your life. So from that standpoint, there\u2019s nothing like it,\u201d Lipford says.<\/p>\n\n\n\n

This article was written by NerdWallet and was originally published by The Associated Press.<\/em><\/p>\n\n\n\n

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