Did you know…?
- One-third of all home buyers are buying their first home.
- 63% of them are married.
- The median age of a first-time home buyer is 32.
Basically, married millennials make up a large portion of the home buying market. It can be an exciting venture! But we know that buying your first home can also be terrifying. Where do you even begin?
More than likely, you’ve been renting for several years, maybe at an apartment complex where you don’t even have to think about the building. You’ve had renter’s insurance for some time, which only protects the belongings you bring into the rental property.
Now you’re looking to own it all! Buying a home means you own the entire structure, and even other structures like a detached garage, storage shed, or pool. This is potentially the largest purchase you’ll ever make, which is why it’s so important to protect your new home with proper insurance.
Once your offer is accepted on your dream home and you near your closing date, things can get very hectic. That’s why we recommend a homeowner’s insurance consultation well before the week of closing (trust me, you’ll thank us later!). Even before you start the search process, here are a few things to keep in mind as you decide on your first home:
1) Flood zones and elevation – If a home is in a flood zone, the elevation will directly affect the cost of your flood insurance. Living in Charleston, South Carolina, most homes are at a low elevation, relatively speaking. Check with your real estate agent to stay informed on potential flooding as you view homes. **Note that flood insurance is purchased SEPARATELY from your homeowner’s insurance policy!**
2) Age of the home – With older homes come older appliances, roofing, plumbing, etc. The age of your roof and other important structural features can cause higher insurance premiums. For example, homes built between the 1880s-1940s with knob and tube (K&T) electrical wiring are generally not accepted by insurance companies. Look for any signs of leaks, wood rot, and deterioration as you walk through the home, and ask your realtor for detailed specs on the age of these high cost items.
3) Potential Liabilities – Pools, trampolines, tree houses, steep steps, these are all examples of potential liabilities in a home. Accidents happen, but thankfully your homeowner’s policy will come with liability coverage in the event someone who does not live there is injured on your property. Consider these factors when buying a home as they could majorly affect the liability coverage you’ll need, and you may want to consider an umbrella policy.
Now that we’ve thoroughly boggled your brain for the day, call or contact us here to schedule a free insurance consultation with one of our licensed agents. Their insurance expertise will help make your home buying process even smoother! Happy house shopping!
Statistical info from www.mgic.com.