If you’re thinking of buying a home, be sure to look beyond the selling price in determining how much home you can really afford. That’s because there are hidden costs to purchasing and owning a home, and those costs can add significantly to your budget.
Realtor.com points out that transactional costs associated with your home purchase can really add up. The home inspection and appraisal will come out of your pocket, and closing costs and loan fees can add thousands of dollars to your purchase cost. According to Investopedia.com, after you take possession of your home, you’ll be responsible for property taxes, possible HOA fees and homeowner’s insurance. Depending on the condition of your home, repairs to the roof, HVAC, electrical system or plumbing could be necessary. Then, of course, you’ll need to prepare for lawn care and landscaping.
Despite the costs, homeownership is still a smart, long-term investment. To pin down your total costs, talk to a pro at Vanguard Realty Associates. We’ll help you buy a home you can afford with confidence.