Owning a home can be costly, and monthly costs can be unpredictable. Although you can adequately prepare for your mortgage payment, a leaky roof can catch you off guard and affect your entire budget.
Approximately 31% of homeowners don’t have a budget for home repairs, according to a 2018 Home Improvement Report. Considering Americans spend close to $500 billion on these repairs, setting aside money for the undertaking is wise.
It feels good to have money set aside for home repairs. But there are other ways of saving money on repairs during a stressful time.
Include In Your Emergency Fund
An emergency fund is typically designed to save you from unexpected expenses or when you lose income. Including an extra cushion in that fund for home repairs without affecting your primary safety net can assist you to pay for improvements.
You don’t have to start with a significant amount, first, start with 100 dollars, and then gradually increase. These small amounts of money can help you pay to get locks changed, fix a leaky pipe or even repair a leaky roof. You don’t want to wait until payday to fix such issues.
Most people don’t handle a repair right away. In fact, according to the report, only 55% of Americans would address a repair immediately. Sadly, a small issue can turn into an expensive home repair when postponed. For example, a leaky pipe under the sink can eventually lead to a rotten subfloor, increasing the cost of repairs exponentially.
Consider Doing The Repairs
Most homeowners, particularly those under 40 years can handle their home repairs more than other age groups. However, that largely depends on the nature of the repairs and the skill of the homeowner.
When you handle repairs, you spend less money than hiring a professional because you’re not paying for labor. But if you end up worsening a repair, you could end up hitting your wallet harder to fix it. Therefore, choose repairs within your skill set or those you can easily learn to fix.
Look For Manufacturer Rebates
If you’re handling home repairs and need to buy pricey equipment, you can check the store flyers or the manufacturer’s website for rebates. Most manufacturers offer rebates on specific equipment throughout the year or provide incentives to consumers for buying eco-friendly supplies. You may end up buying a well-known brand for drill presses at a fraction of the cost.
Look For Home Improvements Sales
You may not be aware of your local store home improvement sales if you’re not a regular customer. So, you may need to make a few rips to the store and review their circulars to get an idea of how much items cost.
You may not find the bargains on your first trip. But you can compare prices of materials in your local store to that of online retailers and other stores. If you’re buying in bulk, don’t forget to check on warehouses. You may find basic supplies at a reduced cost after shopping around.
Use Reclaimed Materials
Spend some days searching for salvaged materials in home rebuilding centers or salvage yards in your location. You may find reclaimed home furnishing for your repairs. Find creative ways to re-using these materials in new ways. Generally, salvaged materials cost less than brand new, and you may end up coming up with fresh ideas that will improve your home’s aesthetic appeal.
Negotiate With Contractors
If you hire a contractor to handle your home repairs, be ready to negotiate so that you make the best deal. In addition, avoid contractors who offer very low price for their services because you could end up hiring another contractor to redo the work.
It is better to get quotes from about four reputable contractors, and then negotiate with each one for better deals or discounts. Request them to separate labor and material costs so you know how much you’re paying their skills. Investigate if purchasing the materials yourself can reduce come of the costs significantly.
Most homeowners borrow money from family members or a lender to meet the costs of home repairs or maintenance that can increase the value of their property. Therefore, it is wise to know your financial options. For instance, home equity lines of credit can be a good option because the amount you can borrow depends on the value after subtracting how much you owe on your mortgage.
Home repairs are unavoidable, and you will want to renovate or improve your home at some point. You will feel less stressed if you know how to save money and where to get it.