7 Hidden Costs of Buying a Home Every Buyer Should Prepare For

Buying a home is exciting, but many first-time buyers underestimate the extra expenses that come with the process.

1. Closing Costs

Typically 2%–6% of the purchase price. Includes lender fees, title insurance, appraisal, and more.

2. Earnest Money Deposit

Usually 1%–3% of the purchase price. It goes toward your down payment at closing.

3. Home Inspection

Budget $450–$700 depending on home size and location.

4. Appraisal Fee

Required by lenders to confirm fair market value ($500–$750).

5. Moving Costs

Professional movers can run $500–$2,000+ depending on distance.

6. Immediate Repairs & Upgrades

Even new homes may need paint, smart locks, appliances, or small fixes.

7. Ongoing Maintenance

Homes cost about 1%–3% of the home’s value annually in upkeep.

Bottom Line

Knowing the hidden costs upfront prepares your budget and prevents stress. With the right agent, you’ll always know what to expect—and when.