Home Ownership: Why Maintainance Is A 'must'

From kids running up and down the stairs all day, drawing on walls with Crayons to pets tearing out chunks of carpet with their razor sharp claws homes can take a lot of abuse through the years. And then there's the external wear-and-tear caused by things like wind, UV damage, heat and humidity, thunderstorms, even snow: Weather in many areas of the country can take a toll on even the best constructed homes.

These types of problems can have the effect of undermining your home's ultimate market value. Also, paying for small repairs and upkeep is better than paying for much larger repairs in the future. Also, even though the purchase price may have taken into account the total needed for repairs many buyers will simply not like the idea of buying a home that is such a repair project.

Here are some considerations:

A check of your home's basic structural and functional components should be checked on an annual basis. Things like gutters, foundation, water heaters, air conditioners, roofing, etc. should be checked to the best of your ability to detect a problem. A certain portion of your income should be allocated for nothing but home maintenance. Multiplying a home's estimated market value by 1 to 3 percent will give you a good idea of how much should should expect to spend on maintenance.

Don't let future repairs take you by surprise. For example, in areas of the country where summers can get quite humid and you may find yourself using the air conditioner for extended periods of time. If you have a 15-year old furnace, for example, you should strongly consider saving a portion of your income for a replacement unit in the near future. As well, you should be aware of other things that are susceptible to breaking down, such as roofing, siding and so on. Knowing the how long certain things are likely to last will help you be prepared financially when they finally do break down.

If you are not in a position to pay for maintenance:

Not being able to pay for needed repairs in a timely manner is bad enough. Finding yourself in a situation where needed repairs have gone unaddressed for years is a good indicator that you are unable to afford the true cost of owning your home. This will cause you problems when it comes time to sell your home as the build-up of maintenance issues will make your home less marketable.

If you should fall into such a predicament don't just sweep it under the carpet. Take action. Taking an objective look at your finances can help you gain a clear perspective. Make the repairs you can afford to make and then consider moving into a less expensive home.

Some final thoughts:

When buying a home be sure to consider the cost of maintenance. It's better to buy a slightly less expensive home and be able to afford the required maintenance than to buy a more expensive home and not be able to maintain it. The former will maintain its value over time and likely appreciate, where as the latter will likely depreciate.