Many people are taking advantage of the low mortgage rates and fantastic deals on homes in the Greater Phoenix area and are gearing up to buy one of the beautiful homes currently on the Greater Phoenix Real Estate market.  As real estate agents in Greater Phoenix, we see new homes come on the market everyday and have the opportunity to work with those who are excited about purchasing their Greater Phoenix dream home.


If you are one of those who are considering buying a Greater Phoenix home this year, we can assure you that now is a great time to do so!  As the market continues its upward swing to recovery, we know that buying now will ensure you get in on the historically low home prices and mortgage rates.  Of course we all know the greatest concern in buying a home is affordability, especially for those who are jumping into the Greater Phoenix Real Estate market for the first time!


Being a first time home buyer can be an exciting, yet overwhelming experience all at the same time.  As the Russo Team, we are here to, not only make sure that all of your questions are answered, but to bring to light those things that tend to surprise first time home buyers


Buying a home goes far beyond the “sticker price” of a home and determining whether or not the asking price will fit within your budget.  Below are twelve of the hidden costs of which you’ll want to be aware before beginning your Greater Phoenix home search!


1. Home Inspection- It is a great idea to hire a professional to inspect a home before you purchase as they can bring your attention to any major or long term issues.  Let us know if you need a recommendation for a Greater Phoenix home inspector; we’d be happy to help!


2. Pest Inspection- Buyers should consider having the wood of the home inspected for termites or other wood-destroying bugs. These inspections can run between $50-$200, but can save your home from further damage and larger costs.


3. Appraisal Fees- Before a purchase, your home must be inspected by a professional real estate appraiser as this helps lenders determine the amount of money to lend borrowers.


4. Closing Costs- At the final closing meeting in which you sign all documents, you should be prepared to pay closing costs which can be a few thousand dollars. These fees include processing fees, underwriting fees, recording, survey and title insurance fees. Many buyers roll these fees into their offer on the home and can be discussed with the seller and the participating agents. 


5. Moving Expenses- Unless you are moving down the street, you will have to be prepared for moving expenses such as renting movers, a moving truck, and any possible shipping costs depending on how far you are moving.


6. Furniture- You may come to realize that in buying a bigger home, you’ll have space to fill.  Buying additional furniture is an expense that can oftentimes be overlooked, but can be necessary in moving to your new Greater Phoenix home.


7. Property taxes and homeowners insurance- First time home buyers should be aware that your monthly bill will not only include the loan amount plus interest, but also the property taxes and premiums for homeowners insurance, which all mortgage borrowers are required to obtain.


8. Supplemental insurance- Buyers who are purchasing a home in a flood zone may have to buy supplemental insurance. There are tools online to help determine if your home is in a flood zone or we can discuss this as you view the homes in the Greater Phoenix area that interest you. 


9. Homeowners association/condo fees- There are many great condos in Phoenix and the surrounding areas, many of which will have a monthly HOA fee. While you may not be keen on paying this additional cost, oftentimes it covers items such as trash removal, landscaping and even water. 


10. Utilities- These costs vary from city to city so it’s always good to expect to see a difference in monthly bills. We can help answer questions on the average costs of utilities in the Greater Phoenix area!


11. Ongoing maintenance- You may love the thought of a large backyard, but keeping in mind the cost of maintaining your yard or garden. If you are buying your first home you may not have all of the tools such as a hedge trimmer or lawn mower to keep your Greater Phoenix yard looking fresh. Also keep in mind any type of exterior or interior maintenance you noticed about your new home and factor in the additional costs.


12. Repairs- Covering all repairs tends to be one of the larger transitional points for those first time home owners.  It’s wise to set aside a small amount each month to ensure that if additional repairs are required, the funds are already in place to cover the extra expense.

Whether you are a new to the Greater Phoenix Real Estate market and are considering buying your first home, are selling a home and looking for a new home or are relocating to the Greater Phoenix area; we’d love to offer our services!  As a team of Greater Phoenix Real Estate agents, we are committed to helping buyers through each step of the home buying process, from searching for a home to closing on your new home in Greater Phoenix; we’re here to help!  


We want to make sure you’re up to speed on everything that’s going on in the current market and with each decision that needs to be made when buying a home.  Please feel free to contact us today to get started!


The Russo Team
Greater Phoenix Real Estate Experts

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