If you’re thinking of taking your first steps on the property ladder, you’ll be getting ready for an important milestone. And while securing your first home is incredibly exciting, it’s also a process that involves huge cost commitments.
Whether you’re searching for a two-bed terraced house or a detached cottage in the countryside, you’ll face similar expenses and commitments. Before you finish saving up for a deposit, it’s worth knowing about some of the less obvious – and often ongoing – costs associated with homeownership.
Maintenance and repairs
Buying a house means ongoing investment.
While the purchase price might be the highest, there are plenty of typical annual costs to get familiar with. If you have a central heating system powered by a boiler, for example, you’ll need to book in an annual service.
Buying an older property slightly increases the risk of higher maintenance costs, but you’ll still need to look after a new property. Roof repairs prompted by broken tiles are common, but not as widespread as household leaks. In total, household leaks cost UK homeowners £697 million each year.
Taxes and utilities
Council tax and utilities, including gas and electricity, are among the most common recurring costs for homeowners.
It’s important to know that these can vary immensely depending on where you live and the size of your property. If you’re still searching for a place to call your own, it’s certainly worth doing your research and getting some quotes online first.
These routine costs may also include service charges, especially if you’re buying an apartment within a larger complex managed by an external company.
Emergencies and insurance
Expecting the unexpected is another integral part of becoming a homeowner. Unfortunate events like break-ins, leaks or storm damage can create sudden and major expenses, particularly if you’re not prepared.
To stay covered, it’s worth taking time to find a comprehensive home insurance policy. This could protect you against sudden and unaffordable financial burdens. If you extend your cover to include contents insurance, you’ll enjoy additional peace of mind for your belongings.
Budgeting smartly
Careful budgeting is the fulcrum of successful homeownership. You can follow basic templates online to get started, but you should always try to allow for:
- Mortgage repayments
- Existing debt commitments
- Essential grocery and food shopping
- Personal goals, including savings
- Carefully tracking your income and spending
Payments and costs, whether recurring or unexpected, are inevitable when you buy a property. But with strategy and a realistic approach, you can ensure that you and your family stay on track.
To read more content like this, explore The Brand Hopper
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