By Desare A Kohn-Laski
Who doesn’t want to live in his dream house? After years of saving, you might be thinking of buying your own house. However, you could be surprised due to exploding expenses brought by hidden costs. Spare yourself from such instance by learning of the top 5 hidden expenses associated with home buying.
Home Inspection Fees
Before you could actually purchase your dream house, you want to make sure that there are no problems hidden behind its attractive curb appeal and appealing interior design. You should tap the services of a home inspection professional who has the expertise in uncovering problems in utility systems, and in unfrequented parts of the house such as the basement and the attic.
No matter how much you have saved for the purchase of your ideal home, it is not a right attitude to just let your hard-earned money slip easily from your hands. You would not want to pay for an overpriced property. Therefore, another hidden cost that comes along with home buying is the appraisal fee. Tapping the help of a property appraiser would be a first-hand protection against overpriced properties.
There are instances when the preparation and recording of official documents from the seller to the buyer require the expertise of an attorney, specifically someone who is specialized in real estate law. You may need to hire one, or the real estate company of your choice can provide you someone from their stables. Typically, both the seller and the buyer are represented by their own attorneys. With a real estate attorney on your side, you can be confident that the documents are prepared correctly.
The hidden expenses that you would encounter don’t stop even when you are actually living in the purchased house. You would shoulder a monthly cost that is called the property tax. This is a cost that you should anticipate to increase even if you have obtained the house through a fixed-rate housing loan.
A home insurance is a common requirement by lenders. This one is a costly hidden expense because it depends on numerous factors such as your choice of home construction materials and the location of the house. You will find out that you are paying more than you would normally do if you have a renter’s insurance. You are paying higher because you are covering the ability to rebuild your house in case there are mistakes on the side of the contractors. If you want to cover the replacement of your valuables, then the higher the insurance fee would be.
These are the typical hidden expenses of home buying. These are all worth the amount because they will assure you that you are protected from erroneous documents, faulty home, overpriced property, and damages.