Home Buying Tips
Lessons From a First-Time Home Buyer: One Year as Homeowners
It feels absolutely crazy to say but it’s now been a full year since we closed on our house. Perhaps it doesn’t feel as long since we didn’t actually move in until closer to Christmas — but, either way, time has flown.
Before my wife and I got married, her mother said something to her about getting to know someone in all seasons. Well, now, we’ve come to know our house and the homeownership life in all seasons, with each bringing its own lessons. So, to mark this milestone, I wanted to look at year one, including some of what we learned, what we experienced, and what we’re looking forward to next.
Recapping Our First Year as Homeowners
Winter
All that spam
At closing, our mortgage broker was warning us about all of the spam we’d soon be receiving in the mail — and boy were they right about that. Since home sale info is publically available in Missouri, we soon received plenty of random letters and offers in the mail, with many cleverly toeing the line in making it seem as though it was from our mortgage company while still technically disclosing that they were not affiliated. On top of that, we also had ADT-authorized sellers visit our home on multiple occasions trying to get us to sign up for their services.
As annoying as all of this was at first, I’m happy to say that it’s stopped nearly entirely. In fact, I don’t remember the last time we had a solicitation at our door. Seeing as this was something I was fearful of soon after we moved here, I’m relieved to say the problem hasn’t been nearly as persistent as I worried it might be.
And the non-spam
Of course, amid all the junk and drop-ins we got when we first moved in, there were some legitimate developments we nearly ignored due to the spam onslaught we were enduring. In one case, our home insurer needed to send out a surveyor. Thankfully, we realized that this problem was real and our insurance broker confirmed as much.
The other “not spam” letter we received early on was to let us know that our mortgage had already been sold. At the time, our mortgage servicer would stay the same (more on that later), but the loan itself had been passed off. Apparently, this is quite common, yet it’s something no one really talks about before you buy a home.
Keeping heating costs down
Unlike my time in Arizona, Missouri gets legitimately cold in the winter. And now that we have a whole house to heat, we braced for some pretty high utility bills. Fortunately, between the seals we put over the windows as well as our willingness to bundle up our clothes (to a reasonable level), we didn’t see anything too crazy in terms of monthly bills. In fact, compared to the averages provided to use as part of the buying process, we trended well below what previous owners were paying. I think that’s quite a victory.
Spring
Stormy weather
To say that I am not a fan of severe weather would be an understatement. I personally keep a close eye on the National Weather Service Storm Prediction Center’s daily updates — and, as I see our area’s threat rise, so does my anxiety. Unfortunately for me, those worries have only been compounded now that I’m a homeowner.
The good news is that despite some strong storms we’ve seen, we’ve escaped any real damage. Sure, there have been a few small tree limbs that have fallen due to wind, but the only actual damage was that our internet cable became untethered from the side of our house. Funny enough, though, this was actually a bit of a blessing as it was already starting to separate and we wondered how to address it with the provider. As it turns out, having it get ripped off in a storm was the perfect “in” for us.
Learning the truth
When we went to vote in a local election this spring, we learned something we had suspected but hadn’t confirmed: we don’t actually live in the city of Springfield. Despite driving by a sign that states “Now Leaving City Limits,” the realtor assured us that we were inside. However, when we realized our ballot lacked any city council votes or other referendum, that’s when we realized the truth.
Even though it is a bit weird to not technically live in our city, this arrangement has actually only been beneficial so far. Specifically, avoiding paying city tax on the car we bought a few months ago proved to be a nice little win. Perhaps I’ll find a downside in the future — but, for now, it’s been fine.
In bloom
It was truly remarkable to see just how quickly the greenery around our home popped up as soon as the temperatures started climbing. In turn, we had to purchase a few items to help take care of our yard. This included picking up an electric mower (that we talked our way into a pretty decent deal on). Other items included some sheers and other gardening tools, all of which have been put to good use since.
Summer
The water heater
Summer brought our first major repair as homeowners. This milestone came courtesy of a water heater that decided to start leaking all over the place. I suppose if you are going to have a water heater fail, summer is the best seasonal option. Also, our water heater is thankfully located in the garage and not the basement (where it would have made much more of a mess).
Technically, I still need to pay off the water heater since I selected the “six months, no interest” option. I wrote about why you need to be careful with these sorts of deals — and, in turn, I do plan on paying in full before my interest-free period comes to a close. All things considered, this $2,000-something expense certainly could have been worse.
New servicer
Remember when I said that, when our mortgage changed hands, our servicer stayed the same? Well, that changed a few months later as we moved to Mr. Cooper (yes, I made all the “hanging with” jokes upon learning this). At first, we were slightly annoyed by this move as we had gotten used to our old servicer’s app and platform, so moving was kind of a pain.
The other issue we experienced during the transition was that we were basically forced to make a late payment. Granted, the servicer had an extended grace period as this is surely a regular occurrence and part of the process, but it still felt so strange to do. But, we got over it. Also, since moving over to Mr. Cooper, we’ve come to like their platform just as much as our previous servicer.
Keeping it cool
Just as we wanted to keep the utilities in check in the winter, we tried to do the same in the summer. This actually proved easier to do since A/C doesn’t cost nearly as much as heat. On top of that, we’d leave the thermostat a bit higher during the day and turn it down at night, since all I really care about is being nice and cool as I slip into bed.
Plus, if we really needed to escape the heat, our basement is the perfect place. The temperature difference between the basement and even the main level is honestly kind of insane. We’ll definitely be keeping that in mind for future heat waves.
Fall
Finally fixing/replacing the laundry
One project we managed to cross off our list (along with a few others I didn’t bother to mention) was getting our laundry room functional. This began with having both existing appliances inspected and diagnosed. As it turned out, the dryer was an easy enough fix, but the washer was a no-go.
So, we ended up buying a new dryer and having it delivered a few days later. That’s when we learned that the design of our basement stairs makes the task of transporting large items quite difficult. In the end, though, they did manage to get the washer down the stairs and installed. Now, at long last, we can do laundry in our own home again.
A better handle on the leaves
As I mentioned in the Spring section, we purchased an electric mower for the yard. This proved to be crucial all summer long — and, now that autumn is here, it’s also been incredibly helpful with the leaf situation.
Last year, when we moved in, our yard was covered with leaves that we had no recourse for (other than to make a few piles). We eventually mulched those when we got the mower, but they literally sat there that whole time. Instead, we can now take a few minutes each week or so to mow them down and keep them in check.
Hoping to refinance
Finally, one year after were initially approved for our mortgage, we’re hoping to refinance as soon as possible. Currently, our APR is just a hair shy of 8%. Thus, in order to make a re-fi worth it, we’re probably going to need to get something closer to 6%.
Although mortgage rates have fallen quite a bit since we obtained ours and the Fed has cut interest rates 0.75% in the past year (so far), we aren’t quite in that range just yet. We are holding out hope that we’ll reach it soon, but are also prepared to hang onto our expensive rate for however long we have to. After all, we knew what we were getting into when we accepted it… but it sure would be great to find something better in the future.
As is to be expected, our first year as homeowners has brought a number of challenges. Then again, the space and freedom we have is unrivaled. So do we ever miss being renters? Honestly, from time to time, yes. Overall, though, it’s been a wonderful first year — and we’re looking forward to many more.
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