Your Next Steps as a New Homeowner
Congratulations! You’ve crossed the finish line and now hold the keys to your new home. But before you kick back and relax, there are a few important steps to take to ensure a smooth transition into your new life as a homeowner. Let’s go through what you should do after closing.
1. Keep All Your Important Documents Safe
You’ve signed a lot of paperwork, but don’t let those documents disappear. Keep all records related to your home—purchase agreements, insurance policies, and loan documents—in a safe place. Many homeowners opt for a fireproof safe or a safety deposit box for added security.
2. Change the Locks
Security first! Now that you have the keys, consider changing the locks on your new home. This ensures that only you and your trusted family members have access to your property.
3. Set Up Your Utilities
If you haven’t already, reach out to local service providers to set up your electricity, gas, water, internet, and cable. While some services can be activated within a day, it’s best to arrange these a few weeks before moving in to avoid any delays.
4. Handle Your Owner’s Title Insurance Policy
You might have received an Owner’s Policy at closing, or it could be on its way by mail. This policy protects your ownership rights against any claims. If you don’t receive it within 4-6 weeks, follow up with your closing agent.
5. Settle Your Loan Payments and Escrow
After the closing, you should receive instructions for making your first loan payment. If your mortgage includes an escrow account, this is used to pay property taxes and insurance premiums when they’re due. Make sure you understand how this account works and monitor your escrow statements regularly.
6. File for Homestead Exemption (Florida Residents)
If you’ve just purchased a home in Florida, filing for a Homestead Exemption is a must. This exemption can significantly reduce your property taxes by allowing you to exclude a portion of your home’s value from taxation. To take advantage of this benefit, make sure to file with your local county property appraiser’s office by the designated deadline, usually by March 1st of the year following your home purchase. This can lead to substantial savings over the years, so don’t overlook this important step!
7. Update Your Address
Don’t forget to update your address! Start with the U.S. Postal Service to ensure your mail is forwarded to your new home. It’s also a good idea to inform any service providers, banks, and subscription services of your new address.
8. Notify the DMV
You’ll need to update your driver’s license and vehicle registration with your new address. Each state has different requirements, so check with your local DMV for specific instructions and deadlines.
9. Keep Your Homeowner’s Insurance Updated
Double-check that your homeowner’s insurance policy reflects accurate information about your property. If you haven’t already, provide your lender with proof of insurance to ensure they have the correct details.
10. Plan for Home Maintenance
As a homeowner, staying on top of maintenance is key. Create a plan for routine tasks like HVAC inspections, gutter cleaning, and seasonal upkeep. Regular maintenance can prevent costly repairs down the road.
11. Watch for Loan Servicing Transfers
Sometimes, after closing, your lender may sell your loan to another company. If this happens, you’ll receive a “goodbye” letter from your current lender and a “hello” letter from the new one. Make sure to verify the details before sending any payments to a new address.
By following these steps, you’ll be well-prepared for life in your new home. Welcome to the exciting world of homeownership!
