Budgeting for a Home: Expenses and Maintaining Savings

In part one of this two-part blog series, we looked at some of the simplest cost areas you should be budgeting for if you're looking to obtain a mortgage and enter the homebuying world. There are a few vital such areas as you begin this process, and ensuring you're prepared for all of them as you move forward is important.
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At The Albright Team, we'll walk you through the entire process of buying a home in Las Vegas, plus show you all the areas where we'll assist you along the way. We've helped numerous clients with their basic budgeting and related themes as they look to purchase home of their dreams; here are a few additional areas you should be thinking about once you enter this realm.

Current and Future Expenses

Buying a home comes with more than just a mortgage -- it also comes with a variety of necessary, ongoing expenses you'll need to budget for over time. Many Las Vegas area homes have homeowners' association (HOA) fees, which can add thousands of dollars to your total annual costs as a homeowner. Depending on the size and value of your home, there may also be property taxes that you'll need to pay each year. These taxes are based on the appraised value of your home, which may be different than what you paid for it depending on when you purchase.

You'll also need to have money set aside for things like painting and repairs, both inside and outside the home. No matter how well-kept a home is before you buy it, there are always going to be maintenance costs in the future, and it's best not to be caught off guard with these expenses.

Finally, you'll also need to consider important expenses like moving, relocation and other costs that come with buying a home. These may include help purchasing your new furniture, decorations and anything else you need to set up your new pad -- not to mention packing supplies and moving services when it's time to make the big move itself.

Maintaining Some Savings

Though the various elements we've gone over here represent some significant financial needs when purchasing a home, it's also important to keep in mind that there will always be other, unexpected expenses that may come up. That's why it's crucial to have some savings set aside even after you've bought a home; this can help you weather any financial storms that pop up, whether they're related to your home or not.

Ideally, you should keep at least three to six months' worth of savings set aside in your account. This may help if you have to take time off work due to illness, or even if you need to make a quick job change that comes with a significant loss of income. Having such funds readily available can be a huge stress reliever as a homeowner.

For more on how to budget for your homebuying needs, or to learn about any of our homes, condos or townhomes for sale in Las Vegas, speak to the pros at The Albright Team today.