Five Expenses To Be Aware Of When Buying a New Home

Buying a home is a major financial decision that should not be made lightly. Unlike a car, a home is more than an expensive purchase, it is also one of your biggest assets. That means that this one decision has the potential to determine the shape of the rest of your financial life. Before you jump into buying, here are five things you should know.

Insurance Rates

Raleigh Insurance rates are based on a lot of variables, including where the house is located, when it was built, and what sort of safety and construction features it has. You can ask for an insurance quote for any home you’re thinking about buying, however. Just make sure you factor it into the overall cost of the home.

Choosing The Right Area

Location is almost always the reason behind the most dramatic price differences. Think about what you’re willing to sacrifice in order to get into a better community. For some people, location matters very little, and they can save a lot on a great property.

Maintenance Costs

You know your interest rate the day you sign mortgage paperwork, but maintenance costs can be unpredictable. Always keep an emergency fund, and be aware of small problems in your home. Get them fixed before they turn into big ones. Also be sure to find out when big items, such as appliances and the roof, were replaced.

Interest rates

The rate that you finance your mortgage can have a major affect on the amount you pay each month for you home. An increase in the market by just a percents can mean an increase or decrease in you monthly payment. It is important that you are aware of these changes in the market and working with you lender to ensure you are getting the lowest rate possible.

Home Owner Fees

A lot of neighborhoods and subdivisions have restrictions that homeowners have to agree to when they buy a home there. These can limit what you plant in your front yard, what color you paint the house, and how many people you have living with you. Ask your realtor for a copy of these restrictions and read them carefully before deciding to buy.