Most homebuyers, and especially first-time buyers, focus on the home and the mortgage. But once you’ve decided to buy, there are some important things you should make sure you have on hand. If we’re your buyer’s agent, these are all the items we’re happy to help you with.
Homeowners insurance. If you’re like most people, your home will be the largest single investment you’ll make in your lifetime. So, it makes sense to protect yourself and that investment by insuring it. In fact, if you’re taking out a mortgage, homeowners’ insurance will be a requirement. You need to arrange this before closing because the property becomes your responsibility as soon as the sale closes. Therefore, you need a policy that goes into effect at 12:01 a.m. the same day you’re closing on the home.
A list of reliable local tradespeople and contractors. It’s important to have the names of these providers on hand for when you might need the services of a plumber, an electrician, a builder, a landscaper, a contractor, or someone who can take on odd jobs. We’re happy to refer you to tradespeople you can depend on.
An accountant’s advice about tax write-offs. Being a homeowner does come with some tax benefits. These can include potential write-offs for mortgage interest and points, property taxes, and closing costs. However, we are not the experts in this area. It is important to always talk to a tax professional about these matters, and before making any tax-related decision.
A new or updated will. As a homeowner, doing some basic estate planning is a wise idea. Now is the right time to set up a will or update one you already have. You also might want to formalize an estate plan that includes additional legal documents that protect your family and estate if you become incapacitated, or when you are no longer around. For all the details, meet with an estate planning attorney. We’re happy to refer you to one.
A homestead exemption, if you’re eligible. A homestead is the home you own and use as a primary residence. An exemption is a freedom from taxation or financial liability. A homestead exemption gives you a limited exemption from some of your property taxes, as well as legal protection that prevents creditors from collecting money you owe from the value of your home. (But it does not cover you if missed mortgage payments result in foreclosure.) Homestead exemption provisions vary from state to state, and even county to county within states. Here is some general information on homestead exemptions. For detailed information on applications and deadlines for homestead tax exemptions, start by visiting your local government website.
