Many home buyers forget to shop for home insurance until the last minute and end up choosing the first company that comes along.

Well, don't be that buyer! If you're buying a home, make sure you start shopping for homeowners insurance as soon as your offer is accepted.

Here are some tips to help you save money on homeowners insurance:

• Keep tabs on your credit score. Just like with home loans, the better your credit score, the better pricing you'll be able to get for homeowners insurance. By keeping track of it, you can identify any mistakes and fix them before they affect you negatively.
   
• Combine policies. Check with your current car insurance company to see if they offer special pricing when you combine policies. Many companies do offer combined policy discounts.
   
  
• Ask for a discount (if you've been with same insurance company for many years, they want to keep you). Many times companies will agree to lower your premiums if you have been their customer for a while, have never missed a payment and always pay on time. Also, many companies offer discounts for seniors.
   
  
• Insure only what you need to. Sometimes homeowners don't realize they're paying to insure the land where the house is located. However, this isn't really necessary because if something were to happen, like a fire or flood, the land remains unchanged. So, in reality, you only need to insure the actual structure. It's also a good idea to review your policy every once in a while, to make sure you're not overpaying for items that may not be as valuable to you now as they were when you first insured them. (Remember – Flood and earthquake insurance may not be included in a standard homeowner insurance policy).
   
  
• Learn about small home improvements that make your home safer. Simple things like smoke detectors, fire extinguishers and burglar alarms can make your home much safer and cheaper to insure.
• Increase your deductible. Increasing your deductible can also save you some money, if, of course, you have an emergency fund large enough to cover it in case of a disaster.
   
  
• If it's a new home, learn about the safety of the area. Is the home in a flood zone? Your real estate agent has to let you know whether the home you're interested in is located in a flood zone. Also, it's a good idea to research the crime rate and the locations of the closest police department and fire station. All these things mentioned can affect your premiums.
   
  
• If it's for your existing home, let your insurance company know of any changes that may improve the safety of your neighborhood. For example, additional fire hydrants or new storm drains will make your neighborhood safer.

There may be other ways to reduce your homeowners insurance premiums, so contact your insurer and ask them what you can do to save some money. Because of the increased competition among insurance companies, they'll want to make sure they do everything to keep you as a customer.

For more insurance tips and articles, see our "Insurance" category in the list of categories in the right hand column.

All those "record-low" mortgage rates have you watering at the mouth to buy a home or refinance your current one? Mortgage lenders adjust their rates based on perceptions of risk, so unless you can show you're a low-risk borrower, you are unlikely to qualify for a rate that matches those seen in all the advertisements and headlines.

Consumers who want to try for the lowest rates available need to consider these basic factors:

Credit Score: The ideal borrower has a FICO score of 740 or higher. That puts you in the best place for pricing. According to MyFICO.com, borrowers with scores of 760 to 850 could qualify for an annual percentage rate of approximately 3.95 percent on a $500,000 30-year fixed-rate mortgage, while those with scores of 620 to 639 qualify for 5.53 percent.

Points: The lowest rates usually are decreased by paying a fee called a point, or 1 percent of the loan amount. You need to buy points in order to get the best rates at many banks. In Freddie Mac's recent weekly survey on mortgage rates, points have averaged 0.7 percent on loans in the last year. Points might make sense depending on your financial situation and how long you expect to stay in a home. So ask for a zero point quote, too, and compare.

Down Payment: Borrowers who put down at least 25 percent are more likely to obtain "attractive pricing" at most banks. Lenders offer different breaks on rates if equity is higher, so you should ask what is available.

Loan Length: A lot depends on how long you plan to live in a home. If you're likely to move in a few years, an adjustable-rate loan with a low interest rate fixed for, say, three to five years, and adjusted afterward, might work best. Also, rates on 15-year fixed-rate loans are lower than those on the 30-year — 0.77 percentage points, on average, last year.

Property Type: If you're buying a duplex or a four-unit building, your rate will almost certainly be higher. Condominiums may also have a rate premium, especially if they are newer or your down payment is below 25 percent. Lenders charge more if you are not planning to live in the home. Commercial properties like apartment buildings have the highest rates, as they are considered riskier.

Borrowers may also be able to reduce their mortgage rate when they enter into a "lock-in" agreement with a lender. Lenders typically offer a lower rate for a shorter lock period.

Lenders typically agree not to change an offered interest rate for 60 days, but borrowers confident of a quick closing may be willing to accept a 45-day rate guarantee, or even a 30-day lock, in exchange for a small discount, because the transaction's speed helps the lender reduce its risk.

Borrowers must make sure, too, that they consider the entire cost of a home, looking carefully at monthly payment calculations. About a third of homeownership costs are in addition to the mortgage — among them property taxes, insurance, maintenance and repairs.

Thinking of getting a pet in the new year? Here are three things to consider when budgeting for a pet.

1. Routine Vet Care
2. Emergency Care
3. Optional Costs

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The long-awaited housing recovery is beginning to blossom, according to industry experts taking a look at recent existing-home sales.

Paul Dales, chief economist at Capital Economics, says "it is clear that a housing recovery is now well underway."

Lawrence Yun, chief economist for the National Association of Realtors (NAR), concurs with Dales' assessment, saying "The pattern of home sales in recent months demonstrates a market in recovery."

The evidence: home sales have been on the rise for the past three months, posting a 5 percent increase in December.

In addition to the 5 percent increase in December, NAR reported a 1.7 percent annual increase in existing-home sales in 2011, a total of 4.26 million homes for the year.

Housing inventory is on the decline and fell to its lowest level since March 2005 last month, according to NAR. Approximately 2.3 million homes are available for sale currently.

"The inventory supply suggests many markets will continue to see prices stabilize or grow moderately in the near future," Yun said.

However, listed inventory is only part of the equation, and according to CoreLogic's latest numbers, shadow inventory stands at about 1.6 million.

Regardless, Dales believes sales will rise this year. "Housing still won't contribute much to GDP growth over the next few years, but at least it will no longer subtract from it," Dales says.

Homeowners need to be proactive in making energy-efficient home renovations. Here is a list of easy check-ups every homeowner can do to optimize the energy efficiency of their home:

Windows and Doors
Holes in windows and doors allow conditioned air to leak from your home and allow outdoor air to infiltrate, which can tax your heating and cooling systems and raise your energy bills. Caulk around windows and doors where there are gaps. Also caulk areas where plumbing lines or electrical wiring extend to the exterior of the home.

Floor and Wall Insulation
Insulation acts as a barrier to heat movement and helps keep any home cooler in the summer and warmer in the winter—all while using less energy. Making sure insulation is used at potential gaps such as around an attic stairway or over the attic access door is important as well.

Shedding a Little Light on a Simple Solution
By replacing traditional incandescent light bulbs with compact fluorescents, you can use up to 75% less energy on lighting alone. A wide assortment of CFLs is now available for almost any type fixture found in a home.

Appliances and HVAC Systems
Your major household appliances are a good place to focus on to make your home more eco-friendly. Start by changing the filters of your HVAC systems regularly and consider upgrading older appliances to take advantage of newer, more efficient designs.

Buy a Programmable Thermostat
This energy-saving step can have a positive and noticeable impact right away. Programmable thermostats are fairly easy to install and once they are set up a homeowner can adjust them as the weather changes. For every degree that a thermostat is set back, you may realize a savings between 1-3% on your heating or cooling bills.