Tag: mortgage

What to Budget for Beyond the Mortgage

Buying a home is one of the biggest, most exciting financial commitments you’ll ever make. However, it’s not just about the mortgage. Many first-time buyers are surprised by extra costs that come with homeownership. Planning ahead can help you stay financially comfortable and avoid surprises.

1. Insurance Is More Than a Line Item:
Homeowners insurance is often rolled into your mortgage payment, but it’s worth understanding the real cost. Your premium depends on factors like location, age of home, and coverage level. It’s also important to consider flood or storm coverage if you live in higher-risk areas.

2. Property Taxes Add Up:
Property taxes vary widely by location, and they can increase as property values rise. Make sure you understand how your taxes are calculated and set aside enough to cover yearly or semi-annual payments.

3. Routine Maintenance: The Hidden Monthly Bill
Experts recommend budgeting 1-3% of your home’s purchase price annually for maintenance. That includes:

  • HVAC servicing
  • Gutter cleaning
  • Roof inspections
  • Pest control

Even small items like replacing air filters or fixing a leaky faucet add up over time.

4. Utilities and Upgrades:
From water and electricity to internet and trash pickup, monthly utilities can fluctuate seasonally. Factor in the cost of upgrades or repairs you may want to make, like replacing old appliances or installing new flooring.

5. Emergencies and Unexpected Repairs:
Unfortunately, emergencies happen. Whether it’s a burst pipe or broken water heater, having an emergency fund specifically for your home is crucial.

Your mortgage may be the biggest piece of the puzzle, but it’s not the only one. Understanding the full picture of homeownership costs—including reliable home insurance—helps you make smarter decisions and stay financially secure. Protect your investment, your peace of mind, and everything that makes your house a home. Prepare now, so you can enjoy it without worrying about what’s around the corner.

We’re Here to Help

Whether you’re a longtime policyholder or just starting to look for insurance options, we’re here to help. If you have questions or concerns that you want to discuss, connect with your local OKFB agent today. If you have any insurance-specific questions, we would love to help you find the coverage that best meets your home, auto, commercial and life insurance needs.

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4 Changes That Affect Life Insurance

If you’re like most, your world can change very quickly. Growing up can lead to major life events, and you’ll want to have the right policy to match. Whether you already have coverage or are thinking about getting it, check out these four life changes that could impact how much coverage is needed. 

Marriage/Divorce

Getting married is exciting, but it can also prompt changes to a your policy. For example, you may decide to designate your spouse as the beneficiary. Having Life Insurance in place is a way to economically protect each other’s future. Additionally, going through a divorce can be a difficult time and can also prompt changes. You might consider changing the beneficiary on the policy or designating the policy to cover child support payments.

Children

As a family grows, there are many changes that could affect a Life Insurance policy. Consider adjusting the policy to pay for daycare, save for college or other child care expenses. Updating or obtaining Life Insurance when having children could ensure your family has the resources to maintain a home, costs of child care, schooling and more. Additionally, if your child is now an adult and financially independent, a reduction in coverage may be possible.

Mortgage 

Paying off a mortgage can lead to a decrease in living costs and thus may reduce the amount of Life Insurance needed. Alternatively, a higher mortgage on a new home could mean an increase in the policy is needed. Adjusting this coverage can ensure your family has financial help to maintain mortgage payments should you no longer be able to provide your source of income due to death.

New Job/Promotion

A new job or promotion could mean an increase in salary. You may want to reevaluate Life Insurance coverage to ensure your family can afford the lifestyle they’ve become accustomed to. If you were depending on a policy through a former employer, you may be able to keep that plan or replace it with one from a new workplace.

If you have Life Insurance or are thinking about obtaining it, contact an OKFB agent to talk through options. Our Life Insurance calculator can be a great tool to help understand the amount of coverage that is right for you! Remember, Life Insurance is about ensuring your loved ones are financially secure.