Are you considering buying your first home and are you wondering about what to expect for expenses after buying a house? Let’s talk today at a high level about things you should plan for.
Mortgage Payment:
If you’ll be financing – this should make up the bulk of your budget. Your lender will guide you through the process and by closing, you should have a clear picture of what your monthly payment will look like. Remember, this payment will include the loan principal and interest and likely escrowed expenses (taxes, PMI, home owners’ insurance and possibly CDD fees).
What Other Expenses Might I Encounter?
In home ownership – I encourage you to look beyond the mortgage payment to regular charges including utilities (gas, water, electric and internet), maintenance, home repairs and enhancements. Additionally, depending on the home you select – you may have condo or HOA charges. These charges will be disclosed to you during the shopping and offer phase – to allow you to plan accordingly.
Expenses After Buying a House: Do you Know What to Expect?
Please remember to plan for both the expected and unexpected. Having a savings account will help when unplanned problems arise (and unfortunately – they will). You also want to have enough cash on hand to help with some of the fun projects that will help transition the house you bought into the home you envisioned.
These costs that follow closing are the very reason I encourage clients to consider how much they want to spend. Nobody wants to be house poor – which can sometimes happen when pushing the upper boundaries of approval limits. Please take all of these expenses into consideration when buying a home. It will help ensure you’ll be living comfortably within your means.
If you are thinking about buying or selling in the St. Johns, Jacksonville and St. Augustine areas, please reach out. It would be my pleasure to help you with all of your real estate needs locally.