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Now that you’ve got your dream home, the last thing you want is to be hit with an emergency that you’re not financially prepared to cover. Try to put away at least 1% of your paycheck, more if you can, so you’re not in trouble if problems do pop up. Once you’re in your new home, set up your utilities, including gas, water, electric, Internet, and cable/television. Then, set up autopay everywhere you can to keep your credit pristine and avoid missing any utility payments. Check all the lights in your new house and replace any bulbs that are out. If you’re on the West Coast, don’t make the mistake of thinking your homeowners’ policy will cover you in an earthquake — it won’t.
If you find out something is, contact your moving company to determine who is liable. Pay close attention to cleaning the kitchen and bathrooms, but also check your gutters, backyard, flowerbeds , dryer vents, chimney, and the carpet. If you think the carpet needs a more thorough cleaning, you can also schedule a professional carpet cleaner to come, preferably before you move in. If you don't have keyless locks, be sure to hide a house key so you don't get locked out. Consider a location other than under the welcome mat, like in a garden hose or under a flower pot.
Permanent Life
Using a bridge loan or HELOC allows you to buy a new home before selling your current home. Because it’s the most financially attainable, Option A is a common scenario. It’s impossible to say this is the better choice, but it’s safe to say that Option A has the least amount of risk and can be a less stressful choice. We have been buying things in stages to spread out the cost.
Instead, spend the first few days in your new home cleaning everything. You could also hire a cleaning company to do this, if it’s in your budget. There are so many steps to complete and papers to sign before you can walk in the front door. You might feel a sense of relief when it’s all over and you have your keys in hand, but don’t rest just yet. There are still a few important steps you need to take immediately after buying your house. With the large amount of money that you’re putting into your home, you’ll want to make sure to take excellent care of it.
Review Your Retirement Plan
Alternatively, you can negotiate to have the seller make the repairs or discount the selling price. That means a couple could withdraw a maximum of $20,000 ($10,000 from each account) to use toward a first-home purchase. Just know that if you don’t use the funds to pay for the home within 120 days—and if you’re under age 59½—then it becomes subject to the 10% penalty.
Buying a house can take as little as a few days if you're buying in cash, or can take years if you're counting the amount of time it takes you to save money for a down payment and decide where to live. In a competitive housing market, you may put in multiple offers on homes before one is accepted. Conversely, mounting worry over a housing recession could lead more sellers to pull their homes from the market, making it more difficult to find a suitable property. If you already have your money saved and have a good idea of the neighborhoods and type of home you want, the process will probably take you two to six months.
Change Address with Friends, Relatives, Employer
If you’re just getting started, though, buying a first aid kit, extra water, batteries, and a power bank to charge your cell phone when the electricity is out is helpful. Switching over the gas bill, water bill, and electric bill to your name might be a bit easier. Call them to see what needs to be done before moving the accounts under your name. It’s important to make sure the previous homeowners have no outstanding bills or debts to utility companies as well, as that could pose a problem to seamlessly moving the account.
One of the biggest challenges is keeping your savings in an accessible, relatively safe vehicle that still provides a return so that you’re keeping up with inflation. Once you’ve moved in, it’s important to maintain your home and keep saving. “Get a good agent who is available full-time and is committed to making sure you see properties as they come up,” Sweet advises.
While it’s highly unlikely the previous owners of your new home would want to gain access to the property, changing the alarm code should always be on your list of things to do when you’ve moved in. A home mortgage is a loan given by a bank, mortgage company, or other financial institution for the purchase of a primary or investment residence. A mortgage is a loan used to purchase or maintain real estate.
When you speak to the property’s gas and electric providers to submit your meter readings, find out which tariff the property’s previous owners were on. But always check to see if buildings insurance is your responsibility. After all, the purchase process can be extremely stressful. A first mortgage is the primary lien on the property that secures the mortgage and has priority over all claims on a property in the event of default. Asking friends, family, and colleagues for recommendations is a great place to start.
Sometimes a bank will give you a loan for more house than you really want to pay for. Just because a bank says it will lend you $300,000 doesn’t mean that you should actually borrow that much. A common rule of thumb used by lenders in determining mortgage affordability is for the estimated mortgage payment to be no more than 28% of a borrower's monthly gross income. In addition to Investopedia, she has written for Forbes Advisor, The Motley Fool, Credible, and Insider and is the managing editor of an economics journal.
Once you have determined how much you can really spend and are preapproved for a mortgage, it's time to find a good real estate agent. This is one of the most important steps when preparing to buy a home. With your household bills, such as electricity, water and gas, you can set up automatic payments for each on separate weeks. That way, it may not feel like so much money is being paid at once.
In some instances, says Sweet, buyers will actually get a check back at closing. “Buyers with VA loans can get 100% financing, so there are times when they’ll receive their earnest money back at closing,” he explains. One question you may have is choosing a term or permanent life insurance policy. Tad Hill, founder and president of Freedom Financial Group in Birmingham, Alabama, said that first-time buyers should set up a separate homeownership savings fund to cover more extensive repairs. "The price range for these services is not small, so I'd suggest planning to keep at least $5,000 to $10,000 in cash, so you have it available when something breaks," he said. Buying and selling a home at the same time is hard, but it’s not impossible.
Lock, Shop & Home program is NOT available for bond, jumbo, or renovation loan programs. If they request a conventional loan, or a government fixed-rate loan program. Programs are available to help homeowners make the most of their home buying budget.
“When I write up an offer, I’m always asking the seller to pay for a home warranty,” explains top-selling Charlotte real estate agent Greg Martin. But if that doesn’t happen, it’s a good idea to look into a home warranty yourself. Buyers — especially first-time buyers — can feel like they’ve just finished running a marathon after buying a house. You still have to move in, customize the house to your needs, and make sure you’re prepared for the rigors of homeownership.
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