When buying a home anticipate expenses

Each month we, at the Coeur d'Alene Association of Realtors, offer a course for first time home buyers. This course, in conjunction with Idaho Housing, offers tips and advice to make sure that folks approach home ownership with their eyes wide open.

In addition to the mortgage payment (a calculator can be found on our website) homeowners must take into account taxes, insurance and unanticipated repairs, so the money they save by not renting is not consumed foolishly. We discuss roof repairs, maintenance, painting, etc. and advise our students to set aside cash reserves for these events.

Of course, those buying a brand new home should have a good amount of time to build this reserve, especially for the items under warranty in their new home. Still, money will likely be needed for final landscaping, fencing or interior decorating including window coverings.

Many who purchase an existing or "resale" home will ask their agent to negotiate for whatever appliances the homeseller may have in their possession when the home was viewed. Buyers should make sure that they are prepared to replace appliances based on their age, not their appearance. It could be that you purchased a home completely outfitted with appliances. After a careful inspection, all appliances are functioning as intended and are serviceable at the time of sale. It is only a matter of time when appliances do fail.

To offer some guidelines we found this list of appliance life expectancy on Demesne.info, a website that specializes in home-improvement advice from industry experts:

Appliance Expected life in years

Microwave oven 10

Garbage disposal 10-12

Trash compactor 10

Water heater, gas 11-13

Water heater, electric 13-14

Water heater, tankless (on demand) 20+

Smoke detector 10

Refrigerator, side by side 14

Refrigerator, top mount 14

Refrigerator, bottom mount 17

Refrigerator, single door 19

Refrigerator, compact (dorm type) 5

Washing machine, top load 14

Washing machine, front load 11

Dryer 13

Range, electric 17

Range, gas 19

Dishwasher 10

Cooktops 13-20

Air Conditioner (room size) 10

Mechanical systems will also have a life expectancy, but with proper maintenance, that expectancy may be extended:

Mechanical Systems Expected life in years

Air conditioning compressor 15-20

Forced air furnace, heat pump 15

Baseboard electric heat systems 20

Plumbing, waste piping 75

Hot-Water Boiler 20-30

Water Pump 7 - 10

Water Softener 20

Other considerations are things like floor coverings, window treatments, counter tops, lighting and plumbing fixtures and cabinets. Usually these items are replaced due to aesthetics (the ugly factor) caused by changes in decorating trends rather than failure and should not ordinarily be considered essential to making a home livable. If you do build your reserve fund and find you have money in excess of needed repairs then these decorative fixes may increase the value of your home and maximize its selling price when it is time to move on.

As long as we are making New Year's resolutions why not include building a contingency fund part of yours?

Trust an expert ... call a Realtor. Call your Realtor or visit www.cdarealtors.com to search properties on the Multiple Listing Service or to find a Realtor member who will represent your best interests.

Kim Cooper is a real estate Broker and the spokesman for the Coeur d'Alene Association of Realtors. Kim and the Association invite your feedback and input for this column. You may contact them by writing to the Coeur d'Alene Association of Realtors, 409 W. Neider, Coeur d'Alene, ID 83815 or by calling 208-667-0664