If you have recently purchased a new Parry Custom Home or are currently for a Pittsburgh on your lot builder to build your new home? If so, a down payment has most likely been the biggest financial piece of information stuck in your head as you search and shop for a mortgage company to work with. While your down payment will most likely be the biggest expense for your new home, it certainly wont be the last expense for your new home. The excitement and reward of being a new homeowner are a great thing to look forward too, but the costs and responsibilities of your new home can be overwhelming if you don’t properly plan for it.
However, with some research and planning, you can purchase and enjoy your new home with as little stress as possible! Here are some pieces of knowledge to get you on the right track when it comes to purchasing your new home and understanding what you mortgage will be made up of.
When putting together your budget for what you can spend on a mortgage, there are three main things to consider and you need to make sure are on your list.
The first item on your budgeting list will need to be insurance. There are many factors that will determine how much your premium will be and what kind of coverage you need. This is an area you need to be sure to properly do your research on the area that your new home is located. If you are on the coast, do you need flood or hurricane insurance? Does your new home have a security system? Does your insurance provider give you a discount for combining policies like homeowner, life and auto insurance?
Another thing to take into consideration for your new home will be any monthly, quarterly or annual fees associated with your new home. Many communities are deed restricted and have CDD or HOA fees. Some purchasing agreements will allow you to waive these fees, but be sure to ask about any reoccurring or yearly fees that you will also need to budget for.
Lastly, be sure to factor in the utilities for your new home. If you have previously lived in a small apartment or condo, you can easily expect what you are used to paying for utilities to double or triple depending on the size of your new home. A good way to help offset some of the higher costs is to invest in energy efficient appliances, but not planning on much higher utilities than what you are used too can lead to a budgetary disaster.
These are just a few things to be sure to take into account before purchasing your new home to set yourself up for success and less stress.
Parry Custom Homes is an established homebuilder in the Pittsburgh area. Call or contact us today for more information.