Your responsibilities as a homeowner
What are your responsibilities as a homeowner? These can be different for everyone, but here are some basics in making sure that you keep the commitments you made when you bought your house.
Pay your mortgage on time
First and most important, it’s absolutely crucial to pay your mortgage? payment in full and on time each and every month. Depending on the agreement with your lender?, late payments could affect the terms of the loan. Whether it’s an interest rate? increase or late fee, late mortgage payments could put you in a situation that is hard to get out of. Plus, they will affect your credit report? and score?, which could affect your ability to take out loans in the future. By missing payments, you could put yourself in a risky financial position that could result in losing your home to foreclosure?.
Depending on the agreement with your lender, late payments could affect the terms of the loan.
If you face a hardship such as job loss, income reduction, or sickness that makes it hard to make your payments on time, it’s essential to call your loan servicer? right away to talk through your options and come to a solution.
Maintain your home
Maintaining the safety and soundness of your home is extremely important not only for your own well-being, but also because maintenance costs could go up and issues could become more severe, the longer you wait. If the condition of the house deteriorates, you may end up selling it for less than you paid for it and you’d need to pay the difference at closing? or remain there until you’ve built up more equity?. In a little bit, we’ll go through in more detail what maintaining your home can involve.