You’ve finally signed the documents officially naming you the owner of a new house. Unpacking, decorating, and landscaping are tasks that you likely expect as a new homeowner. Here are some other common things that you may not plan for with owning a home.
3 Things You Should Expect as a New Homeowner
1. A New Homeowner Should Expect Taxes to Change
Property taxes make up a chunk of your mortgage payment if the two are grouped together. Your tax rate depends on how much your home is assessed for. Your assessment can increase or decrease each year based on the market and any upgrades you make. When the property taxes change, your monthly mortgage payment will change too.
2. Your Mortgage Can be Sold
When shopping for a mortgage, you probably compared the terms and interest rates of multiple lenders. You may find out later that your original lender has sold your mortgage to a different company.
This is a normal situation to expect as a new homeowner. It happens all the time in the industry. Lenders sell loans to secondary investors because they receive a commission from it. The lender sells a mortgage to an investment company and uses the cash to finance other potential homebuyers.
Don’t be surprised or alarmed if this happens. You’ll receive a notice from your loan originator and the new owner of the loan at least 15 days before the official transfer occurs. The new lender will provide instructions on how to make your future payments. The terms of your loan won’t change as long as your interest rates are fixed.
3. The Insurance Company Requests an Inspection
Part of buying a home is having it insured. Questions from the insurance company about the new home should be expected as a new homeowner. After closing, the company might want to check out the house in person. The inspector will look for issues, especially those related to safety, and the insurance company can require you to fix any issues to meet their guidelines.
Learning what to expect as a new homeowner will make owning your home easier and stress-free.