Top Three Unexpected New Homebuyer Costs

Homebuyers spent an average of $10,334 more than planned on their new home, according to a recent Consumer Affairs survey. Bidding wars topped the list as the main reason. The survey also found that buyers were caught off guard by some expenses once they moved in. Here are the three most unexpected home costs, together with solutions to share with your first-time buyer clients:

Property Taxes

Rising property taxes are the biggest expense that most new homeowners don't expect. You can help by suggesting clients work with a financial planner or tax preparer to find ways to offset the cost.

Utilities

Many new homeowners come from renting where utilities are often included. Educate your clients on energy-saving options like programmable thermostats and LED lights.

Maintenance and Repairs

Expenses like heating and air conditioning maintenance and repairs can quickly add up. Tell your clients that experts recommend saving 1-3% of a home's purchase price for these costs and placing it in a designated account.

Source: magazine.realtor


* Specific loan program availability and requirements may vary. Please get in touch with the mortgage advisor for more information.