With money tight and an uncertain economy, now is the time for homeowners to do what they can to save money. Whether you’ve lost your job, are juggling working from home with teaching your kids, or even if nothing major has changed for you at all, there are things you can do to save money during a pandemic as a homeowner. If you are like most people and have budget concerns, read on.
Refinancing
One of the fastest ways to save money as a homeowner during the pandemic is to look at what money you have going out. Odds are that your mortgage is the biggest check you write each month. It only makes sense that your mortgage payment would be the first place to look at when considering your finances. For many, a new loan and monthly mortgage payment through refinancing have meant big savings during a time our homes mean more to us than ever.
If it sounds intimidating or you aren’t sure you want to tackle it, use a home refinance calculator to see how much in monthly payments you could knock off your current mortgage with new loan terms. You might be surprised at how much money you could have left in your pocket at a lower rate. Even a small adjustment over the life of the loan can really add up and leave money for home improvements, supplementing lost income due to shutdowns, and more.
Utilities and Energy Costs
After you’ve done your homework on today’s rates, consider what you pay for things like water heating, energy usage, and the overall portion of your budget that goes to utilities. From looking at water and considering filtration options and water usage at Flowritemetering.com to thinking about costs for heating and the electric bill, you could save a lot each month in utility costs by taking a closer look at your needs.
If you’re off work or working from home, it’s also likely your energy and water needs have changed. Your home energy use has probably increased, which means it’s a great time to think about using energy more efficiently at home. Some homeowners have looked into renewable energy and even used surplus checks for home renovations that will pay off in the long run like installing solar panels. If that’s too much, what about a programmable thermostat? That alone could make a big difference in helping your household to use less electricity.
Income Opportunities
For others, their homes have given them the opportunity to make money even more directly. Instead of waiting on the money passively, they have used shutdown renovation projects and time to clear out that extra space in the basement or guest room and bring on tenants in a tight housing market. You could do this easily as well.
Save money on your own mortgage by letting a tenant pay you for it. Rental income means you’ll be able to save your own money while working on your own financial goals as we get through the pandemic. The idea of having a tenant could even serve as an incentive to make changes to your home you’ve put off until now. From upgrades, after that refinance to new mortgage terms and the addition of rental income, you could put yourself in a position of filling any lost income gaps in no time at all.
While the pandemic is less than ideal for anyone, homeowners have the advantage of being able to use their equity and long term investment as a form of income. Whether your current mortgage balance is too steep, your home’s energy efficiency is less than par, or you have extra space to help someone out, there are so many ways for homeowners to save money during a pandemic. Put your creative thinking cap on and pull that calculator out. Even one of these changes is a great way to save yourself.
