As a property owner, you know, or will come to learn that home maintenance costs can add up quickly. Before purchasing, take into consider these factors for how much your property will need for maintenance.
1. Size: As a base estimate, a rule of thumb is to budget $1 for every sq. foot of your home. For example, if you own a property that is 2,000 sq. ft, know that your base, yearly home maintenance cost will be at least $2,000. Then add to that costs for the different factors, as listed below.
2. Age: Freshly constructed properties (0-10 years) will need very little maintenance. After 20 years, you will find problems starting with the piping, roof, heating and cooling systems.
3. Condition: Check the history of how well previous homeowners have taken care of the home. If previous owners have good, regular maintenance records, it will greatly impact future home maintenance needs, therefore affecting cost. Remember that you can now store all maintenance records and notes on AbodeStory.
4. Weather: Properties in areas of the country that experience more cold weather, especially periods of freezing temperatures, may require more maintenance than properties that are not. Cold weather, heavy storms can put much more strain on homes than warmer weather. Know the appropriate measures to take to prevent properties from being affected by harsh weather.
5. Property Type: Do you own an apartment, condo, or a large single-family home? Apartments require the lowest maintenance fees out of the three. Single family homes will require much more maintenance, such as replacing shingles on the roof, cleaning the gutters, or even paving the driveway.
6. Location: Knowing the terrain of where your property sits on is important. Being close to water can be a huge issue, especially if your property sits at the bottom of a hill where water is collecting. Make sure you know the appropriate home insurance to purchase, and be mindful that in wetter, humid regions, you are more likely to have termite issues.
Overall note, given all these variables, it is safe to say that you should budget for 1% of your property purchase price, per year for maintenance fees. For example, if you purchased a property at $300,000, then your one percent rule estimates you will pay on average, $3,000, per year on property maintenance fees. Use this as a basic estimation, and take into consideration the factors listed above to get a better prediction.