5 Ways to Avoid Unnecessary Expenses for Fairbanks, Anchorage Alaska Homeowners
Whether you're currently searching for the right home in Fairbanks, Anchorage, Eagle River, Palmer or North Pole or have just purchased one, this will likely be the biggest purchase you'll ever make. Many months, even years, of saving go into a home purchase, so it's important to be financially smart during this time.
Many homeowners get carried away once inside their new Alaskan property and start buying items to make their house feel like a home. While some of this is necessary and exciting as a new homeowner, below are five ways to avoid over-spending once you are handed the keys.
Don't purchase costly furniture
If you've just moved into a home in Fairbanks, Anchorage Alaska, remember that the property will be yours for many years to come. There will be time to decorate and save for expensive furniture pieces— you do not need to do it all at once, especially just after you've purchased the home. If you need to fill space, buy smaller items first and give the others some time. You can always replace them as your savings allows.
Get rid of private mortgage insurance (PMI)
Putting less than 20 percent down on your Alaskan home will require you to purchase private mortgage insurance or PMI. This can easily add $100 or more to your monthly mortgage payment, so plan to get rid of it as soon as possible! One of the best ways to do so is making extra mortgage payments and do so early on! Not only will this eliminate PMI quickly, but it will also greatly reduce your interest over the life of the home loan.
Don't overspend on landscaping
Summer in Alaska is beautiful and your lawn can be too, but keep in mind the costs. After you purchase a home in Alaska, you may be tempted to hire lawn care services to make your house stand out as the best in the neighborhood. Remember that you can do much of these services yourself to reduce costs.
Look for energy loss
For new homeowners in Alaska, energy loss can be a major expense. If there are areas where air is escaping, it can drive your heating and cooling bills up dramatically. Perform an energy audit on your home to look for air leaks, inefficient light bulbs and poor insulation.
Shop around for insurance
Homeowners tend to receive a lot of advice from friends and family members on household-related expenses, one of which is insurance. Sure, they may know someone who sells homeowners insurance, but shop around first! Oftentimes, if you gather several quotes, you can save as much as 30 percent on your premium.
Madden Real Estate knows how exciting it is to purchase a home in Eagle River, North Pole, Wasilla, Fairbanks, Anchorage and Palmer, but we also know how quickly home-related expenses can get away from you. These smart steps will allow you to enjoy the time spent in your new home and also satisfy your budget.
As your local real estate experts, we're happy to help answer any questions or provide information relating to buying a home or selling your current property in Alaska. We look forward to hearing from you!