A home is the biggest purchase most people make in their lives, and it’s common for new homeowners to be cash-strapped for a while after moving. Sometimes, though, repairs and renovations can’t wait — and unfortunately, these surprise or emergency projects are often the costliest ones. With that in mind, here are some strategies to help new homeowners assess the urgency of projects, how to prioritize them, and how to finance necessary home repairs even when money is tight.
Use your home inspection as a repair guide
During the height of the pandemic real estate frenzy in 2020 and 2021, many buyers waived inspection contingencies in their offers — that is, the right to inspect the property before closing. Now that things are calming down slightly, home inspections are becoming common again. Understanding an inspector’s report can be a huge help in anticipating maintenance needs and potential problems.
“Knowing these details about the home you’re going to own is crucial,” says Ari Rasekh, co-founder of Manor, an app that helps homeowners keep track of their home maintenance and connect with service professionals and contractors.
“A good inspector will pick up on things that sounded insignificant at the time,” Rasekh says. “Passing remarks like ‘your boiler is 30 years old. It looks like it’s operating but it’s 30 years old,’” can be clues to projects that will need attention — sooner rather than later.
Rasekh says keeping your inspection report handy and reviewing it occasionally after you move in is a good idea, because then you’ll be able to better anticipate and budget for necessary home repairs.
Understand what’s urgent vs. what can wait
Not all home repairs are created equal, and some are definitely more time-sensitive than others. A door coming off its hinges or a broken window may be inconvenient and ugly. But a dripping pipe, while less unsightly, might require more immediate intervention.
When check-listing items, focus on “the systems and appliances that keep your home running smoothly. It’s best to address issues quickly and proactively so small issues like a leaking pipe don’t turn into larger issues, like major damage to your floors,” says Raj Midha, senior vice president and general manager of warranty company American Home Shield.
Thinking about building home equity can also be a good metric for prioritizing repairs, Rasekh suggests. “Looking at the potential financial gain for any particular item,” Rasekh says. “Keep an eye on the trends and the data of what people are actually doing and using.”
However, as Midha notes, “while it may be rewarding to make superficial upgrades like painting walls, refacing cabinets or replacing countertops, these cosmetic projects can typically wait, and can sometimes be completed as a DIY project.”
It’s also important to consider any risks to your health and safety. Even little things like a smoke detector that’s …….
Source: https://www.bankrate.com/homeownership/prioritizing-home-repair-costs/