Owning Your Home
Welcome to the joys of homeownership! Now it’s time to protect your investment.
When you’ve made it over all the financial hurdles and are now a homeowner, the financial aspects of homeownership don’t stop with the closing. In fact, they’re just beginning.
Financial Considerations
Here is a list of some of the major financial considerations of owning a home:
Emergency Fund
A new hot water heater or leaky roof might require the help of a professional. Make sure to maintain an emergency fund of 3-6 months’ worth of living expenses to pay for these unexpected repairs. Learn more about Saving for Emergencies.
House Maintenance and Improvement
Transforming your house into a home will cost sweat equity and real dollars. Consider adding a category to your spending plan to set aside dollars to furnish and upkeep your house. Learn how to Build a Budget.
Homeowners Insurance
Homeowners insurance can help alleviate the financial burden of having your home or possessions destroyed or stolen. Your insurer agrees to pay the cost of repairing or rebuilding your home and replacing your possessions in the event of a covered loss such as a burglary, fire or theft. The policy also pays damages if you are held legally liable for accidental injury to someone else. Be sure to regularly revisit your coverages to make sure you’re protected as things change. Learn more about Homeowners Insurance.
Life Insurance and Estate Planning Review
The financial impact of losing a loved one could be devastating and that’s especially true when there’s a mortgage involved. Review your life insurance and estate planning documents when making a major purchase such as a home. Learn more about Life Insurance Basics and tips to Prepare Your Legal Documents.