Is there anything more exciting than buying your first home? While this can be an exciting time, there are certain aspects that can be overwhelming as well. One of those things is the surprise costs that may be associated with purchasing a home that you don’t know about because you have never done it. Good Time Moving & Storage is here to talk about some of the surprise expenses you need to plan for when you are buying your first home.
What is Earnest Money
If you are looking for a way to let a seller know that you are seriously committed to buying a home, earnest money will do it. When you put earnest money on a home, it is put towards the sale of the house when the purchase is complete. If you don’t end up buying the house, there are several contingencies that are put in place to help you get that money back. However, you can’t simply decide you don’t want that house and have found something better. In that case, you may lose out on that money.
Appraisal & Inspection Cost
The appraisal and inspection of the home are something that the buyer needs to plan to pay for. Each of them is extremely important. Your appraisal will ensure that you aren’t paying too much for the house. The inspection will give you peace of mind that there isn’t any real issue with the house. If there are issues that pop up in the inspection, you can negotiate that into the price.
Escrow Fees & Accounts
Aside from paying your mortgage every month, you will also have an escrow account you pay into to cover the cost of taxes and insurance. This is important in ensuring you set aside the money needed to pay these two things at the end of the year. If you ever pay too much into them, the mortgage company will adjust the amount and give you a refund. Just know that this will increase the amount you pay each month with your mortgage.
If you have been paying rent somewhere that covers the cost of all or some of the utilities, paying for your utilities may be a surprise. Things like water, garbage, electricity, gas and more can be a surprise when you aren’t used to paying for them each month.
This is a big one for first time homebuyers. You will now be responsible for anything that goes wrong in your home. You won’t be able to call a landlord to get someone on it right away. Many homeowners start a savings account so that they have a little nest egg for when things don’t go as planned and repairs need to be made.
Local & Long Distance Residential & Commercial Moving & More in Antioch, Gallatin, Murfreesboro, Goodletsville, Brentwood, Franklin, Hendersonville, Clarksville, Old Hickory & Greater Nashville, Tennessee
All of these things are important to remember to help make your move to your new house less stressful. Another thing that can help reduce the stress is to rely on the professional movers at Good Time Moving & Storage to make your move a smooth one. Call us today!