Wrench Your Way to Financial Savings

“Another flaw in the human character is that everybody wants to build and nobody wants to do maintenance.” – Kurt Vonnegut

There is no way to sugar coat it – maintenance can be expensive and boring. Analysis in the US shows the yearly maintenance costs of single-family homes from 2022 to 2023 have increased about 9% year over year². Increases have been seen in townhouse costs (up about 4%) and condo costs (up just under 2%)³. 65% of those who experienced a problem in their homes recognize that it could’ve been prevented with proactive maintenance and/or regular inspections¹. Let’s be honest, these numbers stink. While building out your budget, take a step back and evaluate how to lower costs by doing some work yourself.

It might be tempting to laugh off the rising home maintenance cost if you do not own a home, or are located in another country. A study in 2019 discovered 90% of the 200 cities around the globe that were polled were considered to be unaffordable to live in, based on average house price in relation to median income⁵. Unfortunately, similar reports are surfacing around car repair costs. For example, car repair costs have risen in the UK by 40% from 2018 to 2022⁴. No matter what angle you approach from, it makes financial sense to be able to tackle some of these repairs yourself.

This is not a call to forgo all professional repair services. Building an addition onto your home or ripping apart an engine with no previous experience or expert guidance is fraught with peril. For those with varying degrees of comfort, start small. Focus on increasing your overall capabilities. Make a list of your maintenance items and evaluate your skill level against each. Understanding what tools you possess is critical for success. Everything is not a nail. Start with the easier tasks (i.e. changing windshield wipers or home HVAC filters) and then move your way towards larger items (i.e. replacing an alternator or remodeling a bathroom).

Once you have the list of maintenance items mapped to your comfort level, think about how you can expand your knowledge. The secret here is if you have skilled friends/family who you can learn from. Bribery, in the form of food and adult beverages, goes a long way with this approach. Lacking that, online resources are the next best thing. Have a project coming up? Prepare by watching videos or reading blogs on the project before starting. Simple steps go a long way, such as having the required tools and materials to minimize hardware store runs. Turning the wrench yourself will always be less expensive than hiring out. Expand your comfort level to free up savings.

Action: Create a list of annual maintenance tasks and note which ones are within your comfort zone. Price out the tasks. Focus on which high cost, non-comfort-zone task you can learn to perform yourself.

Hint: Ask a knowledgeable friend/family member for help. Bribery encouraged.

Further Reading:

1. 2022 HIPPO HOUSEPOWER REPORT: HOW HOMEOWNERS ARE RESPONDING TO ESSENTIAL MAINTENANCE DURING A SHIFTING ECONOMY
2. State of Home Spending
3. After a brief slowdown, home maintenance prices start to rise again.
4. Vehicle repair costs rise 40% in five years
5. Solving the global housing crisis