Even with the help of a trusted real estate professional, it’s easy to fall into some common traps when you’re buying a home. Here are some of the most common regrets from home buyers—make sure to consider them before you make similar decisions.
Using all of your savings
It can be tempting to throw all the cash you have into your down payment so that you can have a lower monthly payment. But keep in mind that there are several other costs on the horizon—closing costs, inspection, and more. There will also be surprise repairs, taxes, and home maintenance. It’s a good idea to keep some cash in reserve for hidden or unexpected costs.
Borrowing the full amount offered
Banks will often offer a bigger loan than you can comfortably afford. You may be able to pay the mortgage, but it’ll really tighten your budget. A good rule of thumb is to only take 80% of what’s offered. That’ll give you a lot more flexibility in the long term.
Assuming you’ll like the neighbors
Your neighborhood is part of the package when you buy a home, so it’s important to learn about your next door neighbors. Make an effort to do a little homework on the neighbors, and their history with pets, home maintenance, and general behavior. You don’t want to be stuck living next to someone who is rude or inconsiderate.
If you just bought your first home, you’re probably still celebrating and feeling the sense of pride and accomplishment that comes with home ownership. You’re shopping for furniture, drawing up plans for renovations … but wait! There are some important tasks to cross off your list before you get to the fun stuff.
1. Change the locks: A lot of people came in possession of your keys during the home sale process, whether it was on the market for a year or a day. Protect yourself by changing all the locks, just in case a set of keys fell into the wrong hands.
2. Make copies: It’s good to have copies of all your closing documents, if only for reference. But in the worst case, you’ll be thankful you have your own copies if something goes wrong.
3. Make sure you get your mail: The post office won’t deliver your mail if the mailbox doesn’t have a name, and it’ll be difficult to sign for packages if UPS can’t get to your front door. If you’re in a multi-unit building, make sure to put your name on your mailbox and verify that the buzzer or call box is working.
4. Meet your neighbors: It’s not just about being cordial. It’s good to exchange contact info with your neighbors in case there’s a problem in the building or someone is being noisy.
5. Prepare for emergencies: Store the contact info for insurance agents and services like plumbers and locksmiths in your phone. You don’t want to waste time searching the internet when you’re locked out on a winter night or your home suffers fire damage.
Winter is hard on your home. The weight of snow puts stress on your roof, and the cold expands and contracts the materials your home is made of. Now that winter weather is behind us, here’s where you should start with post-winter home maintenance.
Roof and shingles: It’s pretty common for shingles to get damaged or detach completely after a long cold winter. Thoroughly inspect your roof to ensure that shingles are in good condition and the roof is structurally sound. It may not be time to replace your roof yet, but consider how many more years it has left and start preparing a budget.
Check your gutters: The weight of heavy melting snow and debris is more than enough to make your gutters sag or loosen. Clear out all the leaves and other debris that’s collected in the gutters, and make sure they’re still securely attached at all points.
Check concrete surfaces: Fluctuating temperatures cause concrete to expand and contract. This can lead to damaged driveways, walkways, and other surfaces, and that can spell bad news for water drainage. Fill the cracks with an appropriate material, and seal your surfaces if possible.
HVAC service: Before you put your central air conditioner through a rigorous summer, clean the coils and change the filter. Better yet, bring in a professional for yearly maintenance.
When you’ve just purchased a new home, there’s a ton on your mind. There’s moving, decorating, getting to know your new neighborhood, and more. Here are a few things that should be at the top of your to-do list, because they’ll save you a lot of money.
Check on your water heater
Set your water heater for 120 degrees Fahrenheit. This is plenty hot enough for bathing, washing dishes, and any other household use of hot water, so heating water above 120 degrees is a waste of energy and money. And if your water heater is an older model, it’s worthwhile to invest in a water heater blanket to keep it insulated.
Replace air filters
Sellers often put in a lot of cosmetic work to get the home move-in ready, but they often skip or forget about air filters in the HVAC system. Filters can be found at your local hardware store (just make sure to get the right size) and are easy to replace. Doing so will improve air flow and quality, and save on energy costs.
Get a smart thermostat
A smart thermostat, such as Nest, will cost you some money up front but is well worth the long-term savings. It’s programmable so that your AC and furnace run at lower levels when you’re not home, so you’re not wasting money to cool or heat an empty house.
Set up a space to air-dry clothes
Whether it’s a rack in your laundry room or a clothesline in the back yard, air-drying clothes is a big money saver over even the most energy-efficient dryers. Air-drying your garments will also help them last much longer.
Check for leaks and running toilets
A leaky faucet or a constantly-running toilet will use up water unnecessarily, and that’ll show up on your utility bill. And in the worst case, they’ll cause expensive water damage and mold.
Sometimes you need to keep a poker face when you’re buying a home. If you have contact with the seller and/or listing agent, it’s not in your best interest to be totally candid with them (and here is where working with a buyer representative can come in handy!). Here a few things that are better left unsaid.
“This is at the top end of our budget”: Don’t let the listing agent know that a home is at the top of your budget. You want to keep all the bargaining chips you can, and letting the seller know your budget can hurt you when it comes time to negotiate.
“I hate the paint”: Or furniture. Or cabinets. Or any of the decor. No matter how hideous the wallpaper in the kitchen is, take care not to insult the seller’s taste. If they’re considering multiple offers, you don’t want to be the buyer that offended the seller!
“We can’t wait to renovate”: Customization is one of the big perks of homeownership, but it’s best to keep your renovation plans quiet for the moment. The seller may have a lot of memories in the home, and may not appreciate your plans to immediately tear down some walls.
We may be a little removed from New Year’s Day, but it’s not too late to make some 2016 resolutions for yourhome.
1. Start a home repair slush fund: Things in your home are going to break and need to fixed. It’s just a fact that comes with home ownership. Rather than letting expensive repairs take you by surprise, start planning for them. Set aside some money each month that you can eventually draw from when an appliance breaks or unexpected damage occurs.
2. Inspect your fireplace: Even if you have a gas fireplace, you should still inspect the valves and ceramic logs yearly to ensure that everything is operating safely and correctly. If you have wood fireplace, hire a certified chimney sweep to do the job.
3. Maintain your garage door: Garage doors are big and heavy, and that puts a lot of stress on the hinges and tracks that are use to open and close the door several times a day. A regularly scheduled $50 inspection could save you hundreds or thousands in the long run.
4.Tune up your furnace: Regular furnace inspections will help identify minor problems before they turn into major ones. Also, set reminders to replace your furnace filter.
5. Clean your coils: The No. 1 refrigerator maintenance task should be cleaning the condenser coils. They can get clogged with hair and dust, reducing your fridge’s efficiency. Have you cleaned yours lately? You can hire a professional to do it, but it’s also an easy do-it-yourself job.
A New Year means tax season is right around the corner. One of the many perks of homeownership is potential big tax breaks. So whether you’re doing your taxes yourself or getting help from a professional, it’s important to take advantage of those breaks!
There are specific criteria that have to be met in order to deduct home office expenses, but it can lead to a very large deduction. In general, your home office has to be used specifically for business purposes. Check with a tax professional to see if your home office qualifies for a deduction—it’s a little extra work, but can make a big difference in your tax responsibility. Examples of the type of expenses that you can claim include heating, home insurance, electricity and cleaning materials.
Renovations that make homes safer or more accessible for seniors or the disabled may qualify for a new tax credit in 2016. If you are a senior or hold a valid disability tax certificate or are supporting a qualifying individual, up to $10,000 in expenses can be claimed under the Home Accessibility Tax Credit.
If you rent a property you own or that you have use of, use the T776 tax form to report rental income and claim allowable expenses such as advertising, insurance and interest on money you borrow to buy or improve the property.
Ontario Energy and Property Tax Credit:
This credit helps low- to moderate-income individuals with property taxes and the sales tax on energy. Visit the Ministry of Finance website for more information about qualifications.
Hardwood floors make for a beautiful, stunning addition to your home. However, they can bring new cleaning and maintenance challenges that aren’t present with carpet. Here are some tips for simple, efficient, and thorough hardwood floor cleaning.
Make the job easier
Place mats on either side of your exterior doors and always remove your shoes before entering your home—and make sure your guests do the same. Protect the floors by placing felt (or similar) protectors on the feet of your furniture, and use area rugs to designate play areas for the kids. This will reduce extra dirt, dust, and floor scratches.
Sweeping with a standard broom will remove some dirt and dust, but not as much as a mop, wipe, or broom that’s been treated with a dusting agent such as a Swiffer. You could also invest in a vacuum that is designed for hardwood floors. Just be sure that the vacuum won’t leave scratches!
Regular sweeping will remove most dirt and dust, but occasionally you’ll need to give the floors a deeper cleaning to remove the dirt and grime that builds up in your floors’ seams. Use a wood-cleaning soap to thoroughly mop your floors, but make sure the mop isn’t sopping wet—you don’t want to leave standing water.
Spots and scuffs
Most of the marks that occasionally show up on your floors, such as scuffs from rubber soles on boots and shoes—can be wiped away with a rag or very fine steel wool.
Moving into a new home is an exciting time, and you’re probably daydreaming about decor and paint schemes and new furniture. But before you get into the fun stuff, there are some basics you should cover first.
Change the locks
Even if you’re promised that new locks have been installed in your home, you can never be too careful. It’s worth the money to have the peace of mind that comes with knowing that no one else has the keys to your home. Changing the locks can be a DIY project, or you can call in a locksmith for a little extra money.
Steam clean the carpets It’s good to get a fresh start with your floors before you start decorating. The previous owners may have had pets, young children, or just some plain old clumsiness. Take the time to steam clean the carpets so that your floors are free of stains and allergens. It’s pretty easy and affordable to rent a steam cleaner—your local grocery store may have them available.
Call an exterminator
Prior to move-in, you probably haven’t spent enough time in the house to get a view of any pests that may be lurking. Check in cupboards, basements, and anywhere else a pest might hide Call an exterminator to take care of any mice, insects, and other critters that may be hiding in your home.
Clean out the kitchen
If the previous occupants wanted to skip on some of their cleaning duties when they moved out, the kitchen is where they probably cut corners. Wipe down the inside of cabinets, clean out the refrigerator, clean the oven, and clean in the nooks and crannies underneath the appliances.
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With winter right around the corner, snow, slush and cold temperatures will be a daily occurrence. We all dread the drive into work or the drive home when there has been a heavy snow fall or freezing rain. If you are selling your home during the winter, here are some tips to make your home more appealing to buyers in this snowy weather:
Place a boot tray or mat in your front entry way with enough room for a few spare pairs of snowy boots. Conscientious buyers and showing agents will always remove their footwear when touring your home, but it’s nice to contain any potential mess at the front door!
Shoveling & Salt:
Be sure to regularly shovel and salt your driveway and walkways to all doors of your home, especially if the home you’re selling will be vacant at the time! It’s easy to let the ice pile up at a vacant property – but slipping and falling in the driveway is a bad first impression for potential buyers, no matter how nice your home may be on the inside! If your home is vacant, or if you’ll be out of town for any length of time, consider hiring a snow removal service or neighbourhood teen to look after your driveway.