Setting goals for the new year is a common and healthy habit of people all over the world who try to improve themselves and the quality of their life The new year resolutions vary from quitting smoking to losing weight, and somewhere in between, one or the other homeowner decides to take greater care of their home. Some of the most common new year resolutions of homeowners relate to paying off their mortgage early, preparing for a sale or looking for a new home.
A plan to pay off your mortgage early
This is perhaps one of the most useful new year resolutions for homeowners to make as it will benefit them in the long run. If you’ve earned some extra money, like a tax refund or bonus, why not make an extra payment on your mortgage? Of course, it would be more fun to use the unexpected profit or income on a hobby, but keep in mind that it’s an investment in your equity. The more mortgage you pay off, the more equity you have. You can also round up your mortgage payment each month to reduce your debt (for example, if your monthly payment is $845,70, make it $900 per month). Long-term, it saves money in interest. Of course, it will require you to be persistent each month, but you have all reason to be motivated.
Use the beginning of the year to get rid of stuff you don’t need
The beginning of the year is the perfect time to declutter your home and get rid of things you haven’t used in years. An organized home can increase your productivity and efficiency, plus, you’ll gain extra space. Maintaining a neat home is also essential as it prolongs the life of your furniture, carpets, closets, etc.
Timely repairs and maintenance
We all have been in a situation where we have waited until the last minute to get something fixed and ended up regretting our decision for not dealing with the problem on time. The same goes for repairs in and around the home; the more you wait, the worse and costlier it gets. Make it a habit this year to check for any cracks, leaks and any broken items regularly to avoid major and expensive fixes. Little tweaks here and then will keep your home in good condition.
What about sellers?
Sellers should definitely follow the tips above if they want to sell at a higher price and attract more interested buyers given that well-maintained homes have great odds to be sold quickly and at the desired price. Of course, before putting the house on the market, you’ll have to pay attention to all details, e.g., repaint the walls, burst curb appeal, etc., but it will be far easier when no major repairs are necessary.
What about buyers?
Buyers should definitely start saving for a mortgage down payment. Just remember, the bigger your down payment, the lower the interest rate. Qualifying for a mortgage under the new rules might stand in your way, so try to prepare for the stress tests. Paying off your credit card debt is a good start, and it could secure you a good mortgage deal.
Next, make it your goal to get a pre-approval before you go home shopping. In that way, you’ll know your budget, and you’ll leave a better impression on the sellers as well.