Another benefit of a house is the yard it comes with, but yardwork tends to come with more expenses. When looking at the costs of owning a house, don’t forget about the following:
Repairs: The cost of a repair can vary. If it’s a clogged pipe, it’ll be less. If you’re replacing a roof, it’ll be more. Some repairs will need a professional, and some you can fix on your own. Being able to choose who fixes your house is another perk of homeownership because you can choose the best price and best quality.
Maintenance: It’s your job to keep your home in good shape. To keep up with maintenance, you may need to purchase equipment like a lawn mower, water hose, and ladder.
Renovations: Unless your home was newly built, you’ll probably want to make your house your own. There are all kinds of improvements you could make. Maybe you swap out the carpet for hardwood flooring or change the paint on the walls. Maybe you remodel your kitchen or bathroom. Whatever you choose, a renovation budget and timeline can help you decide how much money you’ll need for your purchase and what you can budget for the future.
Property taxes: Property taxes are typically overlooked as an expense. These taxes are levied on real estate by the government and are usually based on the value of your house and local services. Oftentimes they are wrapped into your monthly mortgage payments.
HOA: A Homeowners Association (HOA) isn’t in every neighborhood, but many have one. Ask your realtor if your neighborhood has an HOA. If there is one, you’ll pay an annual fee to cover maintenance for general spaces like entrances and the pool if one is in your neighborhood. The listing agent can tell you how much current HOA fees will cost you.