What happens after you buy a house?
Woohoo! You are a homeowner! Now, what’s next? In this episode we cover some commonly asked questions so you can prepare after the closing of your home. Make sure you have the right coverage from a home warranty and homeowners’ insurance, why is important to file a declaration of homestead with your county and be aware of what comes in the mail.
Utilities – how soon should I get them transfer to my name?
We recommend transferring all utilities under your name one to two days before your scheduled closing. If you wait after you get the keys or when you are scheduled to move in, utilities will get turned off. If the gas service is turned off, you will need to schedule the gas company to physically go to the home to turn on the service. With power, water, sewer, and trash is very easy to transfer when you already have an account with the company.
Postal Office – when should I pick up my mail key?
After you have completed your change of address (Click here for the Official USPS website) and the home has been recorded under your name with the county, take a copy of your settlement statement and driver’s license to the postal office and let them know you just bought a new home and would like to get a key of there is a mailbox in your neighborhood.
What type of documents come in the mail after I buy my home?
You are going to get a lot of mail, it’s important to identify what is junk mail and what to keep. A few things to look for is your final settlement statement from your title and escrow company, they will mail this document with any applicable refund checks and a copy of your mortgage deed. Some other important items are your mortgage statement, your evidence of homeowner’s insurance, your home warranty coverage, and your property taxes bill from your county.
What is a homestead declaration form, and do I need it?
When you record a Declaration of Homestead, Nevada law protects the equity in your principal residence home up to $605,000 from a general creditor claim (unpaid medical bills, bankruptcy, charge card debts, business/personal loans, accidents). It does not protect you against debts secured by a mortgage or deed of trust, payment of taxes, IRS lien, mechanic’s lien, child support or alimony payments.
You can complete and file it yourself by following the steps on the website below. The form is publicly available. If you have any legal questions regarding the document, we suggest you consult your attorney. Perhaps you would want to setup a living trust instead.
Source: Clark County of Nevada website https://www.clarkcountynv.gov/government/assessor/home_stead.php
What is a home warranty, when does the coverage starts and what does it cover?
A home warranty is a contract with a company designed to protect your home’s appliances and systems from breakdowns cause by normal wear and tear. Coverages vary based on tier plans, type of property and age of the home. A home warranty is not required from your mortgage company like homeowners’ insurance, but it is recommended to purchase one when you close. You can pay them annually, semi-annually, or monthly. When you want to use your warranty, you will put in a service call, pay the service fee from $60 to $80 per call, a technician comes with the needed parts to fix it if it’s included in your plan.
What does homeowner’s insurance cover?
Homeowner’s insurance is a requirement from your mortgage company, and it protects you as the homeowner and your home when unexpected events like fire, weather damage or accidents in the home.
Property Taxes, what do I need to look for?
Your local county will send you documentation a few times a year’s letting you know how much your land was assessed for, your cap rate and when taxes need to be paid. If you chose a mortgage loan without an escrow account, then you would pay for your taxes directly to the county every quarter. The most common mortgage includes an escrow account which pays your taxes and insurance when they are due. Every time you make a mortgage payment you are putting money aside to pay for your taxes and insurance. Your mortgage company will provide you with a breakdown of the payments they made on your behalf.
When do I make my first mortgage payment?
Mortgage payments are paid arrears, they are due between the 1st and the 15th of the month. If you make the payment after the 15th, you will get charged a late fee. If you pay it after 30 days it will report as a late payment on your credit report.