Make sure your budget is big enough to handle these expenses.

Buying a house is more than signing the mortgage papers and making the monthly payments. As you go through the process of reviewing properties with your REALTOR®, don't forget to discuss the "hidden" costs of owning the home. These costs can add up quickly and surprise you if you are not prepared for them. Fortunately, most of these hidden costs can come to light by investing just a little time to do your research and contacting an experienced REALTOR® for advice and assistance in purchasing your next home.

Closing costs and fees can add up quickly and represent between two to five percent of the total price of a home. Fortunately, your REALTOR® can clearly explain these fees and answer any questions before you sign the mortgage paperwork. This is why it is imperative to work with a real esate agent who can carefully step you through the process so that you know precisely what you are paying, and how much it is costing.

Unexpected repairs are one of the surprising hidden costs of home ownership. Serious deficiencies such as a leaky roof or busted HVAC system can cost thousands of dollars to fix. That is why it's important to carefully review the appraisal and homeowner disclosures prior to purchasing. While not every problem will be discovered during the disclosure review, it can help eliminate surprises and shocks.

If you are buying an older home that is likely to have some problems due to age, talk with your REALTOR® about purchasing a home warranty. This can help protect your wallet if the appliances go on the fritz, or the floor needs repaired. A home warranty can cost a few hundred dollars a year, but it can help protect you from nasty surprises and shocks that can arise once you move into your new property.

Another unexpected cost is the price of maintenance. These costs tend to go up over time, so even if the seller quoted the prices they paid for the same maintenance and repairs 5, or 10 years ago, you can expect to pay more than you are expecting in this regard. Typically, maintenance repairs can be estimated to cost one to four percent of the total home value each year.

Indirect costs are another hidden expense that surprises many new homeowners after they go from buying a house to moving into a house. These include expenses such as purchasing new furniture for the home and decorating it so that it is comfortable, to the price of filling the car's tank with the gas required to complete the daily commute into work.  Some of these costs are fixed, and some are variable and will fluctuate over time. Planning for them ahead of time is the best way to avoid sticker shock as these expenses begin to add up.

It is also crucial that you talk with your REALTOR® about homeowner's association fees, taxes and insurance. These tend to rise slowly over time which makes it possible to chart their estimated future cost. Thus, you should plan to pay for incremental increases over time when you are buying a house. Not doing so can leave you unprepared when the next bill arrives in your name and it is slightly higher than what the previous owner quoted during the sales process.

Contact Wright-Patt Realty as you search homes for sale in Beavercreek and other communities surrounding Wright-Patterson Air Force Base. We can help you estimate the total cost of home ownership to ensure that you find a home that won't dig too deep into your piggy bank and hard earned savings.

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