You have finally sealed the deal on your dream house. Congratulations!
Everything should be smooth sailing from this point onwards, right? For many new home buyers, the costs associated with the move can be quite a surprise. If you are buying an existing home, there may be small repairs or modifications needed. And most new home buyers want to add their own style of décor to make the home feel like home.
We understand that buying a new home is one of the most important (and expensive) financial transaction that you will ever make in your life. And many home buyers focus most of their financial attention on the list price and transaction costs to get into their new home. But, what about costs after you close?
To make sure you are budgeting enough money for your move, it is important to keep in mind potential post-sale costs such as decor and repairs. But the question is: how much money do you need for potential repairs? And, how much money should you budget for decorating and updates?
Don’t worry, we’re listing a few guidelines here to help you plan and budget accordingly. Have a look!
Cost of Repair for a New House
You’ve just spent a considerable sum of money on your new home. But now you need to spend on repairs, too?
The home inspection completed during the buying process should uncover any major repairs needed prior to close. And, your real estate agent would help you negotiate the satisfactory completion of these repairs. But, you may uncover smaller repair items that should be completed upon move-in.
Don’t fret, you don’t need to empty your savings for all repairs. You need to first understand which repairs and updates are a priority. The total costs will vary depending on the size and style of your home, and the products you choose for the repairs and updates.
These are the most important updates you should consider as a priority when you move in:
1. Paint the House
If your new home has chipped, peeling, or outdated paint, you might need a professional painter. Keep in mind that the need for major paint would have been surfaced and handled in during the inspection but you might decide you need a color change or just want to freshen up a bit.
The average cost for a professional paint job for one room (10×12) lies anywhere between $380 and $790. If you are painting the house on your own, then consider the cost of paint and supplies to be around $250 – $300 per room. Exterior and trim painting are more expensive.
Your real estate agent is a valuable source for local, reliable and cost-effective painters – make sure you tap into their expertise for advice and referrals.
Although any major plumbing repairs should have been dealt with during the inspection process, it’s always a good idea to have the plumbing checked for any leaks or potential issues that could arise later. The last thing you want to deal with after moving is a flooded bathroom or kitchen.
Also, running toilets are not only irritating, they can also cost you in wasted water bills. That’s true for sprinklers also. Check to make sure the system is running smoothly and all sprinkler heads are intact so you are not flooding the neighborhood with a broken sprinkler head. Getting these items checked by a professional with minor repairs should cost about $160-$430.
3. Get Your Equipment Checked
Safety in your new home is vital. This is why you should invest in a complete check-up and repair job of your mechanical and electrical equipment. This would be a one-time cost, after which you would only need to call in for small repairs or replacements.
Usually, homeowners spend $160 – $510 on an electrician Once again, any major repairs should have been previously reported on the inspection, but a quick post-sale check-up can give you peace of mind that those smaller, pesky items won’t cause you needless worry.
For a quick list of home maintenance tips to prevent costly repairs, check out this article.
Cost of Home Decor
There are no set boundaries for how much you should spend on the décor of your new home because it mainly depends on your creativity and your vision for your new home. A general rule, however, is that you should set aside at least 3%-5% of the total cost of your home for major décor and updates.
For example, if you have just bought a $300,000 house, then the cost for your home décor should lie somewhere between $9000 and $15,000.
Remember that here we are considering huge updates which will either be one-time costs (e.g. installation of a wall cabinet) or will last for a long time (e.g., furniture) during your stay. No matter what design and décor of the home you choose, it is important to always keep inside your budget. So, when you are setting aside money for the repairs and décor, make sure that you set aside enough to cover all the updates you want.
If you have any queries about the repairs and update requirements for any home, contact us today! We’ll love to answer all your questions!
About the Judi Wright Team
Judi Wright/The Judi Wright Team is a real estate group specializing in the suburbs of Frisco, Plano, and surrounding areas. Named the “Best Realtor in Dallas,” by D Magazine ten times and a Five Star Realtor with Texas Monthly, Judi is also a Company-Wide Top performer with Ebby Halliday and the #1 Top Small Group for Ebby Halliday Frisco.