How to Create a Home Inventory and Protect Your Possessions

Can you name the most valuable things in your home, where they are and how much they are worth? If not, then you need to think about making a household inventory.

The National Association of Insurance Commissioners says that 59% of Americans do not have a list of their possessions. But this list is extremely valuable for insurance purposes because it documents the things you own. And for military families, a home inventory list will save you a lot of headache when it's time to move.

How To Create a Home Inventory

The purpose of a home inventory is to let you accurately record and catalog your belongings, and there are a variety of ways to get the job done. You can do it room-by-room, which is probably the most efficient, or category-by-category, starting with big-ticket items. For each item, you should include a short description, quantity, value, condition, location in the house and if possible, attach a purchase receipt.

Be sure to allow enough time for creating a home inventory list, because it is time consuming. Set aside chunks of time during the week or use a weekend to complete the inventory.

Here are three great ways to tackle your household inventory:

Use a Spreadsheet

The inventory spreadsheet should look like a checklist of the things you own. Use a new row for each item on the list and group the items by general categories such as jewelry and toys. Check out this simple example of a home inventory spreadsheet.

Start with electronics and furniture because these tend to be the most valuable, so you want to get down as much detail as possible on them. For miscellaneous bits or things you have a lot of, like books, take a shortcut with pictures and videos.

Include Photos and Videos

Snap a picture of your belongings and label what's in the photo. Make sure you take pictures for the big items on your spreadsheet as well because these are proof that you actually own what you claim when dealing with insurance agencies. Remember to take copies of all important documents, including birth certificates, property deed, insurance policies and your military papers such as personnel records and discharge papers (if applicable).

It's a good idea to also do a video walkthrough of your rooms just to get a visual on the layout. For the artistically inclined, it's probably worthwhile to draw room floor plans and note on them where things are.

Use a Home Inventory App

Using a home inventory app offers a modern, efficient and accessible way to manage your personal property. One of the primary benefits of an app is its convenience; you can easily update your inventory in real-time, adding photos, purchase details and value estimations directly from your smartphone or tablet. Also, some home inventory apps come with additional features like barcode scanning, receipt uploading and categorization options, making the process straightforward and thorough.

Tips For Keeping Your Home Inventory Updated

Keeping your home inventory up-to-date is important for its benefits, especially in times of need. Here are three tips to help you maintain an accurate and current record of your belongings:

1. Schedule regular updates: Set a recurring date, such as the beginning of each month or right after the New Year, to review and update your inventory. This routine ensures your inventory reflects any new purchases, gifts or items that have been sold, donated or disposed of. Adding calendar reminders can help you stick to this schedule, making it a seamless part of your household chores.
2. Update as you go: Whenever you get a new item, take a few minutes to add it to your inventory immediately. This habit can include taking a photo, saving the purchase receipt and jotting down any relevant details like the item's serial number or warranty information. By integrating this process into your purchasing routine, you can ensure your inventory is always as current as possible without needing to set aside large blocks of time for updates.
3. Implement a one-in-one-out rule: To keep your household inventory manageable and up-to-date, adopt a one-in-one-out policy. Each time you acquire a new item, decide on an existing item to donate, sell or recycle. This policy not only helps in minimizing clutter but also ensures your home inventory remains streamlined and reflective of your current possessions. After adding the new item to your inventory, make sure to remove the item you’re parting with.