Hidden Homeowner Costs
October 10, 2017 | Jen Hellmich
Budgeting for buying a home can be difficult enough when you're just  weighing mortgage options and a purchase price. But there are many other factors that go into the cost of home ownership. Some of them are  one-time expenses that you'll pay during the home buying process, while  others will be recurring costs for as long as you own the home.
Closing costs
There are several smaller fees that add up to a rather large sum when  you're going through the closing process-loan fees, attorney fees,  underwriting fees, and more. They typically add up to 2-5% of the  purchase price.
Appraisal
Your lender will require an appraisal, and the appraisal fee (a few hundred dollars) comes out of your pocket. Inspection
The few hundred dollars you'll pay for a home inspection is money  well spent, but it's something you have to keep in mind during the  purchase process. You'll have the peace of mind of knowing the house is  free from any major issues, and you're making a smart, solid investment.
Insurance
Although homeowners insurance isn't legally required, it'll almost  certainly be required by your lender. Further insurance, such as flood  insurance, may also be required (depending on your location).
Home Owners Association
If you're living in a property or community with shared spaces,  you'll almost certainly have an HOA fee. This pays for things like trash  removal, maintenance of common areas, and for recreational areas like pools and playgrounds.
Share

check_circle

You message has been sent!

Send us a Message: