So you just signed the final paperwork and closed on your very first home. Congratulations are in order as this is a huge milestone to achieve in your life! Now that the stress of house hunting, negotiating and providing documentation has come to an end, it is time to take a sigh of relief knowing that you are now a homeowner. While it might be tempting to dive right into picking out paint colors, furniture, decor and personalizations that will make your new house feel like a home, it is important to make some responsible financial preparations first.

Make higher payments

Many first-time home buyers have loans with PMI (private mortgage insurance) included in their monthly payment. PMI is usually issued by the bank on a mortgage where the down payment is less than 20%. PMI is an additional payment or insurance that the bank collects to protect itself from a potential default on the loan. Typically a 20% down payment is required to secure the property as an asset for the bank in the event of a foreclosure. Depending on your type of mortgage, PMI will come off of the monthly payment once you have hit the 20% equity milestone. 

Everyone is looking to make some extra money these days. If you have a rental property at your disposal, why not turn it into a VIP Airbnb and make some extra cash? 

Airbnb’s are becoming extremely popular places to stay for travelers. They offer a homier experience than a hotel, where renters usually have access to not only a room to sleep in but to a living room and kitchen. Airbnb’s can also accommodate larger groups of friends traveling together at a fraction of the price of hotels. And with it being so easy to find a deal on a great Airbnb, it’s no wonder more and more people are choosing to book an Airbnb over a traditional hotel.

Getting set up is easy. Start at Airbnb.com. 

Begin by answering a few basic questions about your property listing. You can list it as a house, apartment, bed and breakfast and more. Airbnb allows you to post your listing free of charge. 

The beginning of 2020 debuted with news of a pandemic threatening the world’s population. As the coronavirus outbreak continues to unfold, economic activity is being slowed down while uncertainty looms over many sectors. The real estate market is one of the areas not immune to the crisis, facing new challenges as the situation evolves. 

At the beginning of the year, the real estate industry was off to a good start, despite limited inventory and affordability issues. Low interest rates fueled both existing home sales and new home sales in January, marking the second month of year-over-year increased activity.

However, the coronavirus hit just in time for the spring season which was supposed to be the peak time for house hunting and selling. In the midst of the crisis, there may be some reluctance to buy or sell until the crisis is contained, but as of now the real estate business is still running and people’s need to move has not entirely changed.