Buying your first house is exciting, thrilling, terrifying and expensive! If you have saved up for years to have a nice down payment on your home, it can be sad and deflating to watch the numbers in your bank account quickly drop once the purchase is complete. While the numbers you see during closing may be a shock, the spending does not stop there. Be prepared, and educate yourself about the other expenses that come along with home ownership.

Mortgage Payment
This is the one number that the vast majority of new homeowners think about. Depending on the terms of your loan, plan on making this payment for the next 15 to 30 years. Your monthly mortgage is one of the most important payments you will ever have, so it is imperative to make sure you always have the funds to cover this cost.

Homeowner’s Insurance
The purpose of homeowner’s insurance is to protect your investment by covering various types of losses or hazards that may impact your home. The exact cost of homeowner’s insurance can vary depending on state, region and certain features of your home. On average, this coverage typically costs between $500 and $1,500 a year. In many instances, the cost of your homeowner’s insurance can be incorporated into your monthly mortgage payment, making it even easier for you to stay on top of your bills.

Property Taxes
Depending on where you live, you may have to pay property taxes once or twice each year. This cost can also fluctuate. Unfortunately, if the total amount of your property taxes changes, you are most likely going to be paying more than you did the prior year.

Utilities
Even if you are able to afford the mortgage payment on a large home, have you thought about the cost of utilities for so much square footage? A bigger house also means that you will be paying more for electricity, water and gas. These utilities are also necessities, so do not forget to incorporate them into your monthly expenses.

Becoming a new homeowner is not cheap, but it is completely manageable if you are educated about your expenses and smart with your money.

At Henderson Properties, we believe in providing support and availability to meet the expectations of our customers as they purchase real estate properties.