10 unexpected costs to consider when buying a home

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Prepare to become a homeowner

Before you close, make sure your budget accounts for both your home and those additional homebuyer costs. Use this list to plan, but remember that financing major purchases before getting your loan can negatively affect your pre-qualified status!

 

Homeowners Insurance

Like all insurance plans, price varies based on your home and policy. As an OCCU member, you may be eligible for special savings on insurance through our partner SWBC. Get a quote beforehand to be sure it fits your budget.

 

Utilities

Be prepared to pay for electricity, gas, trash removal, water and sewage. Don’t forget the choice utilities like Internet, cable and phone lines too.

 

Tax

Aside from your mortgage, you’ll need to pay homeowner taxes including property tax. Talk to your loan officer to review your total monthly payment.

 

Association Fees

Often, homeowners are required to join a homeowner’s association, and follow the community’s regulations and pay monthly or annual upkeep fees.

 

Yard Maintenance

To obey city code and homeowner’s association regulations, you’ll either need to pay for yard maintenance services or yard equipment to do the job yourself.

 

Upgrades

To keep your home up-to-date, you’ll likely need to upgrade over the years. Consider the cost of fresh paint and remodeled rooms before you move in.

 

Commuting

Depending on traffic and the distance between your home and work, the cost of gas adds up quick. Calculate your monthly cost to know what to expect.

 

Pest Control

To keep bugs out of your home, you’ll need regular pest control. Frequency depends on situation, but often bi-monthly treatment is recommended.

 

Furniture and Dècor

If you’re upsizing or moving into your first home, you’ll have a lot of empty space to fill. Make a furniture and décor shopping list, then calculate the cost. Just be sure not to make any big purchases that might impact your credit score before your mortgage is finalized.

 

The Unexpected

No matter how well you plan, there will always be unexpected homeowner costs. In case of damages or additional fees, keep a growing emergency fund.