Five Strategies To Help With Finances After You Close Escrow
The last of the paperwork has been filed away keys the are finally in hand. Congratulations on joining the ranks of home buyers who've taken advantage of today's opportunistic real estate market.
But closing on your new San Diego home is just the first step toward reaching your long-term financial goals. As a member of the Top 5 in Real Estate Network®, I advise my clients on financial matters and so they can best protect their new investment.
Here are five smart financial tips for after the close of escrow:
1. Don't splurge. It is tempting to decorate each room in your new home to the nines. I know, as I recently closed escrow on my own home here in San Diego, but be careful. Spending too much on furnishings and improvements is a lot easier to do than you may imagine. Take your time to figure out what it is that you really need. Remember, there are many new expenses that you will have with your new home. Make sure you can handle them before investing more into the property.
2. Rebuild emergency savings. If you dipped into reserve funds for your down payment or closing costs, it is a good idea to focus on building your reserves back up Put together a strategy and stick to it!
3. Automate your mortgage payments. Late payments can you kill you and your credit. Make sure it doesn't happen to you by removing it from your to do list. There are ways to make automatic payments out of your checking account that go right toward paying your mortgage. check with your bank.
4. Keep Good Records. Even in today's tech heavy world, receipts and all documents related to your home purchase should be kept and filed for your tax returns.
5. Appeal tax assessments. If your home's value drops, you should be eligible for lower property taxes. Stay in touch with your real estate agent to stay abreast of how property values are faring in your neighborhood. Don't rely on national statistics. Real estate trends are unique to each neighborhood and price point. If your home's value is lower than what it was appraised for at the time of your purchase you should appeal directly to the county assessor. This something you should track from now until the day you sell your home sometime in the future, no matter when that may be.