There are expenses involved with owning a home that buyers most likely never had to deal with when renting. Those expenses are sometimes unexpected. Sure, there are expenses like property taxes and homeowner's insurance that you can plan for, but what about unplanned maintenance (such as a broken air conditioning unit)? What about things that are unnecessary but still nice to do (like having a professional clean the carpets)?
Yes, homeowners can certainly do well to arrange their finances to make homeownership a pleasant experience financially rather than a disastrous one.
Pillar to Post Home Inspections shares a simple three-step guide to assessing your expenses:
- List your monthly income.
- Write down your fixed monthly expenses. These include items like your mortgage payment, utilities, loan payments, savings deposits, etc.
- Consider variable monthly expenses. Entertainment, satellite TV, household necessities, food, and fuel should be among the items on this list.