How Much Does That Home Really Cost?

Mar 13, 2018

How Much Does That Home Really Cost?

A $200,000 home costs more than a $185,000 home, right? Well, yes and no. Assuming the same type of financing for both homes, the $200,000 home does cost more initially. But many factors contribute to the overall long-term cost of a house. Here are some things to keep in mind when trying to determine the true cost of purchasing a particular home. Remember to be sure to get a professional inspection to identify other potentially costly problem areas.

  • Does it have a pool or hot tub that requires maintenance?
  • How much yard maintenance is required and who will perform it?
  • Are there trees that should be removed?
  • What are the utility costs? Although your usage won’t be exactly the same as the current owners, you may be able to get their utility bills for the past year from them or directly from the utility company.
  • How soon will the roof need to be replaced?
  • Does the house need repainting?
  • Does the house need new carpeting or flooring?
  • What remodeling projects do you see as a must?
  • Will appliances need replacing?
  • What are the estimated property taxes for the property?
  • What Is the condition of the AC unit and Water Heater?
  • Is there an HOA in place to pay dues to?

All of these things factor into the affordability of a home. Some cost such as homeowners insurance and taxes are rolled into your monthly mortgage payment depending on your loan that you are pre approved for. Consult a local lender and then find a Realtor to make sure you get the best fit for a home for you.