At Arturo R. Alfonso P.A., we specialize in real estate, bankruptcy, and family law, so it is safe to say that we know a few things about the actual costs of buying a home. We have served people in the Miami area for more than 25 years, and we know it is hard to keep your family right when the money’s funny. Do not let hidden costs make a fool of you or your family! Read this article to learn more.
Expenses Most Homeowners Forget To Factor Into The Costs Of Buying A Home
Purchasing property is immensely complex. There are so many steps between deciding to buy a home and finally moving into that home. Before you even move in, you will incur significant expenses.
- Home Inspection. You will need to hire a contractor who will do a walk-through of the home. Plan to take a few hours for this process and plan to spend around $500.
- Home Warranty. If you are purchasing an older home, the appliances probably aged out of their warranties. Consider purchasing a home warranty. For a few hundred dollars per year, home warranties cover the cost of broken appliances, fans, plumbing, as well as the HVAC system.
- Closing Costs and Fees. Homes must be appraised for their market value, property records checked, and the real estate agent paid. This can cost thousands, and it does not include closing costs. Expect those to be 2 percent to 5 percent of your home’s value.
Hidden Costs That Occur After Move-In
The first few months after your home purchase can be supremely expensive. People always spend more than they plan, usually because they do not fully understand what to expect when they move into their new home. Here are a few things you can look out for:
- HOA Fees. The association takes care of things like landscaping and outdoor maintenance. Many include amenities like playgrounds or pools. HOAs can be great things. Just be aware that you have got to pay for them.
- Utilities. If you are a first-time homeowner, you may be shocked by your first utility bills. Be aware that bills could be much bigger than you are used to.
- Maintenance, renovations, decorations, and repairs. Home maintenance is an ongoing project. Put aside 1% of your home’s value annually for maintenance costs. Most homeowners find themselves spending more than planned updating and personalizing their new space for decorations and renovations.
Ongoing Costs Associated With Lifestyle Changes
You may incur added costs if your commute has changed. If it has increased, you might need a new car. If you have moved to a city, your car insurance could increase as well.
If you have left friends behind, you might find yourself driving to visit them on the weekends. Or maybe you are spending money doing activities with hopes of meeting new friends. Either way, costs can add up.
If you have found the perfect spot, make sure you know the costs of buying a home. And while you are at it, make sure you have got an experienced real estate lawyer who has your best interest at heart. Call Miami’s stand-out legal team at Arturo R. Alfonso P.A. for your consultation today!