The ABC of Homeownership: How to Be a Responsible Homeowner

Buying a home is a huge financial decision that a person takes in their lifetime and it has to be dealt with carefully. When you buy a home, you would definitely want to get in a decent locality and also invest in it further. Owning and taking care of a home entails several responsibilities. I learnt my lesson the hard way when I got into trouble with my neighbors and local association. Out of my experiences, I am sharing things you need to consider while buying a home.

Legalities of construction

If you are planning to build a home right from the scratch, find out about permits and other legalities involved. You will need to obtain a construction permit before you start constructing the house. The permit approval takes several weeks or even months before they come through. If you skip the guidelines set by local authorities, they may end up demolishing your house. Every community has specific rules and regulations for construction of homes. Make sure you comply with all of them.

Local Associations

Homeowners associations work on a complicated framework and are often difficult to deal with. Furthermore, the members of this association will lay down several conditions that you would have to adhere to. The best way to avoid problems with these associations is to attend the meetings regularly. Participate in the association as much as you can. Being an active participant in your local community can actually be helpful for you at some point in time.

Mortgage knowledge

Know what the prevailing mortgage rates are. Understand the terms of mortgage thoroughly and what the interest rate includes. Also, understand the nature of interest rate and calculate the overall mortgage cost. Oftentimes, mortgage rates are misunderstood and people get a nasty surprise when they have to pay their first EMI. Avoid this situation by educating yourself and understand the nitty-gritties of mortgage. You should ideally get yourself pre-approved for mortgage before you buy a home.

Pay on time

Clear all dues on a timely basis. If you slack on payments then you will be liable for legal action. It may also result in a lawsuit sometimes. Moreover, you may receive several harassing collection calls and also dent your credit rating. In order to pay your dues on time, make a clear budget prioritizing your mortgage payments.

Friendly neighborhood

As much as possible maintain a cordial and friendly relationship with your neighbors. If you have a troublesome neighbor, just maintain decorum of understanding without breaching your relationship. You never know when you might need the help of these neighbors, whether they are good or bad.  Also, respect your neighbor’s privacy even while constructing your house. If something is bothering them about the construction, pay immediate attention and try to resolve it in an amicable manner.

Conclusion

Home ownership is easier said than done. Any negligence on the part of the owner can get them into deep problems. They should make sure that they are doing the right thing every step of the way. Also, one needs to ensure that their paperwork is always correct and updated. Homeowners’ insurance policy should be in place to avoid legal hassles and unforeseen circumstances.

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