3 smart money moves for homeowners in 2018
Start your new year by building home equity faster, setting up an emergency fund and finding savings on insurance.
Build home equity faster
One of the best things you can do for your long-term financial health is to pay off your mortgage faster with biweekly payments. You can set this up easily and without any fees. Learn how you can pay your mortgage off early!
Evaluate your emergency fund
Eventually, every homeowner faces unexpected expenses. Some things like roof damage or a failed well pump need immediate attention; having money set aside for emergencies makes the situation less stressful.
At minimum have an amount equal to your homeowners insurance deductible on hand. Some financial advisors recommend setting aside 1-2 percent of your home’s value for emergency repairs. This is in addition to 6 to 12 months’ worth of monthly expenses in your emergency fund.
If setting aside an emergency fund is difficult and you’re one of the millions of Americans who will receive a tax refund this year, use your refund to start or build your emergency account.
Review your homeowners insurance
When’s the last time you closely looked at your homeowners insurance? Taking time to comparison shop could save you a lot of money.
Even if you don’t change insurers, you can save money by raising your deductible.
Let your insurer know if you made improvements that improve home security. This could reduce your premium. If you plan to install a security system this year, talk to your insurer first to see what they recommend and how much you’d save.
Carefully review the limits of your policy. Do you need to cancel extra insurance for items you no longer own? Is your house worth more because of improvements or an addition? Make sure you have the coverage you need.
Consumers partners with Nulty Insurance because of their personal service and pricing. Consumers members can get free quotes by calling 877-830-3099 or 269-372-9200 or filling out this form online. Make sure to mention that you are a Consumers Credit Union member!
Consumers helps more than 1,000 members finance their homes each year. When you need a fixed rate mortgage loan or home equity line of credit for your home improvements, call us at 800-991-2221. We’re here to help you get the home of your dreams!