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How much money is needed for Annual Homeowner Repairs?

By
Real Estate Broker/Owner with House to Home, Inc. - Denver Real Estate - 720-231-6373 DRE# ER40011786

 

We just closed on our first home and wondering how much we should put aside each year for home maintenance or upgrades each year?

 

So glad you are thinking ahead, as you do need to keep up home maintenance to keep your home in good condition.    This can depend heavily on the age of your home!

~ Have furnace and A/C cleaned and serviced

~ Blow out your sprinklers in the fall and possible replacement of sprinkler heads/valves

~ Exterior paint and caulking - usually every 5 years

~ Change the batteries in the smoke alarms & CO detector, change out smoke alarms every 10 years

~ Seal granite countertops every year

~ Carpet every 8-10 years (depending on how it is maintained)

~ Wood flooring can use screening and sealing every 5-8 years (depending on how it is maintained)

~ Interior paint (baseboards) every 5 years

~ Furnace - they usually last around 20 years

 

 

These are just a few items to think about, but there are times the garage door spring breaks when it is the worst timing!     Kitchen appliances will need to be replaced after a few years, and hopefully not all at the same time.    Washer/Dryer also are appliances that don't last forever.    On occasion faucets and toilets need to be repaired/replaced as they age.    Keep an eye out for leaks, as it doesn't take long, and water can do a lot of damage!    Windows are a huge expense and will push up the budget A LOT!    If you have to have trees cut down and removed, this can be pricey.  Water heaters usually last 12-15 years.

 

A conservative amount per year would be $5,000, but nice to have a cushion for those years it seems like everything is falling apart, and you want to be prepared.    If you are wanting to do upgrades, I would increase this amount to $10K per year or more.

 

All remodels and upgrades do not equate to dollars on your bottom line.   It is assumed homeowners will maintain their property, but most kitchen and bath remodels will reap about 60-70% when you sell the home.    Be careful about how much is done on landscaping.   This makes a home desirable, but little will result in your home value.  

 

If you have questions when contemplating a remodel or upgrade, give me a call.

 

  

Posted by

Joan Cox
Broker/Owner, REALTOR®
House to Home, Inc.

Serving the Denver Metro area including all suburbs


Helping Buyers and Sellers achieve their real estate dreams, one house at a time!

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Comments (14)

Roy Kelley
Retired - Gaithersburg, MD

This is good advice to share.

We always recommend an annual service agreement for HVAC.

Jul 12, 2021 07:40 AM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Roy, the annual HVAC service should be tops of the list!  

Jul 12, 2021 07:50 AM
Jeffrey DiMuria 321.223.6253 Waves Realty
Waves Realty - Melbourne, FL
Florida Space Coast Homes

Hey Joan...this is such an important point you make. The older the home the more likely they will need money set aside. It is important not to be house poor.

Jul 12, 2021 08:28 AM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Jeff, sometimes new homeowners get into their home, and have money for furniture and other items they need, but don't think about possible repairs.

Jul 12, 2021 09:59 AM
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

Hi Joan... so much depends on how one maintains their mechanicals. My furnaces at 15 years old as is my water heater... but both are serviced twice a year... and I've not had a lick of trouble with either. I just met with clients who had never once serviced their HVAC in 14 years... I told them they were lucky the system only needed about $600 in repairs and hadn't fallen apart completely.

 

I've always believed in buying top of the line appliances and those also have lasted me 15 years. Only my fridge died after 14.

Jul 12, 2021 10:00 AM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Nina Hollander, Broker it is amazing to hear some homeowners don't know how or when to service their mechanicals.    You can look at the vents and see how dirty they are, and KNOW they don't change their furnace filters! 

Jul 12, 2021 10:11 AM
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Hi Joan - I am checked off with everything except seal the granite counters.  I didn't know I had to do that.

Jul 12, 2021 11:23 AM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Grant Schneider I think I heard it was to be done every year!  

Jul 12, 2021 12:19 PM
Mark Don McInnes, Sandpoint-Idaho
Sandpoint Realty LLC - Sandpoint, ID
North Idaho Real Estate - 208-255.6227

Homes are a big investment that need regular maintenance to keep their value moving forward.  Good tips here to help new and seasoned owners alike.  Mark

Jul 12, 2021 04:10 PM
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Hello Joan - budget may not be an official four-letter word but the way it is sometimes bandied about, you can sense the lack of appeal and the increased yawning potential when it enters any conversation.  Embrace it.  Acknowledge it.   Respect it.  

Jul 13, 2021 03:36 AM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Mark, you really do need to protect your investment, and keep it in good condition.

Jul 13, 2021 07:21 AM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Michael, there are many things to do to keep your home in good condition.

Jul 13, 2021 07:22 AM
Kathy Streib
Cypress, TX
Home Stager/Redesign

Good advice, Joan- I think that many first time home buyers or owners are surprised when they realize how much repairs can add up. Preventive maintenance is always good. 

Jul 13, 2021 10:44 AM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Kathy Streib depending on the age of the home, it can be substantial at times too.

Jul 13, 2021 05:04 PM