Homeownership is very expensive for everyone right now, especially first-time homebuyers. The record-high home prices and increasing mortgage interest rates are not helping. According to Zillow and Thumbtack, everyday home expenses, including utility bills, property taxes, insurance, and home maintenance, cost the average homeowner $14,155 a year, not counting the typical mortgage payment. Here are several of the most common surprise expenses for new homeowners.
1. Property taxes
This is an easy one for a first-time homebuyer to overlook. To make it more interesting, taxes are harder to plan for because the rates vary by city or county. Richard Auxier, senior policy associate with 
advises you to know “which jurisdictions levy the taxes and how often reassessments happen. ” A good person to call up would be the local representative,” suggests Auxier.
2. Homeowners Insurance
This can be a big expense for any homeowner. On average, the yearly premium of $1,428 for $250,000 in dwelling coverage. The cost will be even higher in disaster-prone areas. If you live in an area with flooding or that has earthquakes, you will need a separate policy on top of your homeowner’s policy.
3. Home maintenance
First-time homebuyers might overlook this type of expense, that is because sometimes they can be hidden. According to Thumbtack, the cost of annual maintenance has risen from $5,984 to $6,493 in a year. Usually, a home inspector will find most of the problems. but there are things that do slip through the cracks. “As a first-time homebuyer, you need to make sure you have a sufficient cushion for surprises – I’d argue 5% of the home’s purchase price at least,” says Nicole Sullivan of Prism Planning Partners.
If you are in the market for a new home, contact a local real estate agent who can advise you on the best purchase. An agent can help you determine if homeownership is right for you.
