Do You Have a Budget For Your Home?


Whether you’re a new homeowner, or you’ve owned a home for decades, you know how a home can suck up every last dime you have if you let it.

Today we’re taking a look at ways you can apply a budget to your home, just like you do your personal finances.

Except this time, instead of having a budget that controls what you and your family spend on living expenses… we’re talking about having a budget for expenses related to your home.

Just like a traditional budget, where you know how much you bring in, and how much you can spend without going bankrupt… you must know how much money you have to spend on your home, so you don’t overspend and jeopardize your family budget for living expenses.

As you know already, your home will take any money you give it, and then demand more. The object is to not let your home expenses take over your entire family budget.

Here are 4 areas to watch with your home budget, where your home will want to take more money than it should:

#1: Fix Those Home Repairs Now

Though home repairs must be a part of your home budget, if you put off or ignore repairs that need to be made, the problem will only get worse, not better. That means when the time comes when you don’t have a choice but to make those repairs, it’s likely they will cost you 50% more, since you let the small repairs turn into major projects.

#2: Monitor The Cost of Your Utilities

Did you know you have control over how much you pay for utilities each month? Well you do, and it’s easier than you think. Does your family let the shower run a long time? Do you leave your home for days, with all the lights on? Do you water your yard for an hour, when it only needs 10 minutes? Paying attention to these areas will save you cash each and every month.

#3: Do You Pay For More Entertainment Than You Use?

These days many families have internet, cable, multiple smart phone data plans and satellite, as well as on-demand this and on-demand that. Do you have the super-duper deluxe package, yet you only watch 5 channels, and you go out to the movies? You could cut your home entertainment costs by 50% or more, by cutting your services to be in line with what you actually use.

#4: Make Your Mortgage Your Friend

Some people habitually pay their mortgage late. You have to pay your mortgage each month. Why not pay it on time, and save the late payment charge each month? Even better, when you make an additional payment to your principle, you will pay off your mortgage faster, and save a mountain of interest payments.

Now you know that your home should have a budget, too. When you put the attention you need to your home’s budget each month, you have also made your mortgage your friend.

Related posts:

A New Kitchen Can Increase Your Home's Value and Enjoyment
7 Ways to Create Your Dream Home
5 Ways to Avoid Costly Mistakes and Save More Money (Part 1)

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