02 Dec Expenses to Expect with a Custom Home

Real estate is undoubtedly one of the most significant expenses you will ever have. But the perks of homeownership far outweigh the negatives. When you’re thinking about your monthly bills, you need to account for far more than just your mortgage payment. When it comes to owning a custom home, here are some ordinary expenses that you should expect and keep in mind.

Homeowners Insurance
In addition to your monthly mortgage payment, expect to pay for homeowners insurance too. Banks and mortgage companies require this as part of your loan. And even if you pay for your home in all-cash upfront, you should still consider holding homeowner’s insurance in case you need it.

Utility Bills
Living life in a dark house will be no fun at all! So make sure you account for your monthly utility bills, including electric, gas, water, trash, and sewer.

Exterior Maintenance 
They say, you never get a second chance to make a first impression! And your landscaping makes a huge impact on your curb appeal. To keep it in tip-top shape, you should expect to pay for lawn and garden maintenance. Whether you purchase the tools and equipment yourself, or pay for a service to do it for you, maintaining your home’s landscaping should absolutely be on your list of monthly expenses.

Home Cleaning
Whether you’re planning to hire a home cleaning service to help you or plan to do it yourself, be sure to account for the cost. Cleaning products can be expensive, but keeping a tidy home is an essential part of your personal health and your home’s longevity.  

Normal Wear & Tear
Also known as “routine home maintenance,” you should set aside funds in your monthly budget to help keep your own operating at peak performance. This includes things like appliances, air filters, gutter maintenance, pressure washing, touch-up painting, and more. Also, make sure you test your smoke detectors and carbon monoxide alarm regularly, and change the batteries as needed.

Pest Control
A good rule of thumb is to have a pest control company visit your home once every six months to spray for unwanted guests. You can amortize this expense over the course of the year, or plan for it twice annually.

Emergency Fund
Think of this as a personal insurance policy for your home. Unexpected expenses will pop up, and wouldn’t it be better to have money stashed away for when this occurs? Consider putting away a percentage of your monthly take-home pay for potential home repairs. And let the money build in case you need it down the road.

Property Taxes
Surprise! Your property tax bill just arrived. Property taxes are usually paid biannually or annually, and this is usually a pretty hefty bill. So, make plans to set aside money in anticipation of this expense. It can come as a bit of a shock if you’re not prepared!

If you are considering building a custom home in the Marion, Cedar Rapids, or Iowa City area, please consider Dahl Custom Homes for your needs. We are experts at custom home construction and would love to discuss your project in more detail.

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