Our friends at Zillow recently published an article on their blog revealing some shocking numbers about the actual costs of owning a home. Denver, Phoenix, Atlanta, Orlando and Charlotte are cities featured in this study and all have additional home costs averaging $9,000 per year!
Living in an apartment home eliminates many of these hidden costs with lower utility bills and nearly non-existent maintenance expenses, still allowing renters to live in prime locations. To save yourself some serious dough, end your search for a new place to live at a Camden Community near you! Read more from Zillow’s study here.
You Could Spend More Than $9,000 Per Year in Hidden Costs & Maintenance Expenses | Zillow Blog
Beyond principal and interest
Let’s start with the unavoidable. A mortgage calculator can help you estimate your monthly mortgage payment, but if you’re only calculating principal and interest, then you could be underestimating the actual cost of homeownership. That’s because property taxes and homeowners insurance are added to the monthly payment as well. Additionally, while you pay utilities as a renter, if you’re moving into a bigger house, your heat and electric bills will likely increase.
Home maintenance is another common expense many buyers overlook. Using Thumbtack data, we identified costs for five popular home maintenance projects: housecleaning, pressure washing, yard care, carpet cleaning and gutter cleaning. It’s helpful to know how much these types of projects typically cost in your area so you can plan accordingly, even if you, like many homeowners, prefer a DIY approach for these projects (and if that’s the case, remember to budget for trips to the hardware store to buy a lawn mower or other tools).
Location, location, location
As with all things real estate, these extra costs can vary significantly by region. In Boston, homeowners can pay nearly $14,000 annually for these combined hidden costs and maintenance expenses — the highest in the markets analyzed. Compare that to Phoenix, where homeowners pay almost half ($7,550) for the same costs.
Curious how other areas stack up? Check out the graphic below for a breakdown of the 15 metros analyzed in the report.