What Does It Really Cost to Buy a Home?

by Judy Spencer Dona, CRS, GRI, BROKER 11/10/2019

The cost of buying a house extends beyond a seller's initial asking price. In fact, there are many "hidden" costs that buyers need to consider as they decide whether to purchase a house, such as:

1. Closing Costs

There are various closing costs that a buyer may encounter before he or she finalizes a house purchase, including survey, appraisal and wire transfer fees. As such, it generally is a good idea to prepare for these costs prior to launching a house search. Because if you prepare for closing costs, you can ensure that you have the finances available to cover these expenses when you are ready to complete a house purchase.

Oftentimes, it helps to meet with banks and credit unions prior to starting a home search. These financial institutions can help you get pre-approved for a mortgage and teach you about home closing costs. Best of all, after you get a mortgage, you can start your home search with the financing you need to secure your ideal residence.

2. Property Taxes

Property taxes usually are assessed twice a year, and they vary based on state and county. However, if you learn about property taxes, you can map out your homebuying budget accordingly.

Real estate property tax information is part of the public record. Thus, you can access information about property taxes related to a particular home before you purchase it. And once you have this information at your disposal, you can use it to determine whether to move forward with a house purchase or continue your search for your dream home.

3. Utilities

Utility bills vary based on the size of a home, its location and other factors. If you devote time and resources to estimate your utility expenses, you may be better equipped than ever before to make an informed home purchase.

To assess your potential utility costs, you may want to consult with a seller's agent. This professional may be able to provide you with insights into the current homeowner's utility expenses to help you budget appropriately.

It never hurts to hire a real estate agent to help you navigate the homebuying journey, too. A real estate agent can offer expert insights into closing costs, property taxes and other homebuying fees, as well as help you quickly discover your dream residence.

Let's not forget about the comprehensive homebuying guidance that a real estate agent can provide, either. For instance, if you are unsure about whether to submit an offer to purchase a house, a real estate agent can offer recommendations and tips to help you make the best-possible decision. Or, if you have concerns or questions at any point during the homebuying journey, a real estate agent is ready to respond to them.

For those who want to buy a house, it helps to learn about all of the potential costs associated with a home purchase. If you start budgeting for a home purchase today, you could accelerate your quest to find and buy your ideal residence.

About the Author
Author

Judy Spencer Dona, CRS, GRI, BROKER

You can learn a lot growing up on a farm in rural Illinois. Just ask Gillespie native Judy Spencer-Dona. When it came to the daily chores on her family's farm - raising the livestock and harvesting the crops - each member of the family did their part. And although she didn't realize it at the time, young Judy was learning invaluable life lessons that would be the foundation for her later pursuits. To this day, she'll tell you her strong work ethic and her commitment to getting the job done are direct results of her childhood days on her family's farm. Hometown Values Truth be told, Judy will always be a country girl at heart. Even though she moved away from her hometown for a period to take advantage of career opportunities, she carried with her the values she learned early on. While Judy was grateful for the chance to experience new places and meet new people, she always secretly longed to return to Illinois' rural countryside. She'll even tell you her love for her home grew stronger during her time away, which is whey she was even more grateful to be able to return to the area she cherished. It's been several years since Judy moved back, and she feels it more than ever - there's no place like home. She now has a different perspective on the area. More than ever she treasures the natural beauty, the easy-going atmosphere and, perhaps most importantly, the warm, friendly people. A Passion for Her Work With such a deep appreciation for all this special place offers, it's no wonder Judy is so passionate about her work. As the area's leading real estate professional, she finds few things more fulfilling than helping others in the community make the most of their opportunities here. Whatever your real estate goals, this dedicated professional is committed to getting the job done. Judy understands firsthand, there's no place like home. For buyers, she not only works hard to match you with the right home, but the perfect neighborhood to fit your unique needs. For sellers, Judy knows there are oftentimes many emotions involved in the real estate process. With genuine care and compassion, she covers the details and strives to make your transition smooth and worry-free. A Homegrown Professional Whether you're looking to buy or sell a home in Macoupin or Montgomery County, put your move in the hands of a homegrown professional who understands your needs. A professional who knows There's No Place Like Home. Make the most of your real estate opportunities and call Judy Spencer-Dona today to schedule a private consultation. • Full-Time Real Estate Broker • Top Producer in the combined counties of Macoupin and Montgomery since 1999 • Your Lake REALTOR with over $20,800,000 in lake sales alone • Works With New Construction and Custom Built Homes • Relocating?--Let me be your relocation resource • Your Mature Moves Specialist--Condominiums for 55 years young • Top Overall Producer for Century 21 Reid Baugher Realty since 1999 • Quality Service Award Agent (chosen by clients) • Centurion Award, Century 21 - '00-'07 & '13-'16 - Top 1% Nationally • Ruby Award -- Illinois Association of REALTORS President's Club - '01-'06, '14 • Diamond Award -- Illinois Association of REALTORS President's Club - '08-'12, ‘15