A mortgage payment isn’t the only expense you’ll be responsible for as a homeowner. You’ll also be on the hook for utilities like water, heat, and electricity, as well as so-called “hidden” costs, like maintenance, insurance, and property taxes. Altogether, they can add up to a significant amount. In fact, a recent analysis, looked at just the cost of home maintenance, insurance, and taxes and found that together they add up to nearly $16,000 per year. And they’re rising. That’s about 5 percent higher than the year before. Most of that cost is maintenance. The analysis puts annual maintenance at just under $11,000 – with upkeep in cities like Boston, Seattle, and San Diego running even higher. Taxes and insurance are less than that but also on the rise. Insurance premiums are around $2,000 per year but have increased almost 50 percent since 2020. Similarly, property tax is generally about $3,000 per year but varies widely depending on location. Wherever you’re buying, though, be ready. Owning a home can be expensive and a smart – and thorough – budget is a must. (source)
