Annual Hidden Costs of Single-Family Homes Top $18,000: A Detailed Study



Hidden Costs of Homeownership Surge Past $18,000 Annually

Owning a home is a key aspect of the American Dream and a significant way to build wealth, but the costs extend far beyond the initial purchase.

With median home prices now above $400,000 nationally, the average annual cost of owning and maintaining a single-family home in the U.S. has risen by 26 percent over the past four years, according to Bankrate’s new Hidden Costs of Homeownership Study.

Bankrate determined the average hidden costs of homeownership by considering property taxes, homeowners insurance, and 2% of the median sales price for maintenance and repair costs. Additionally, energy, internet, and cable bills were factored in, with adjustments made for inflation.

The study found that these costs total $18,118 per year for a typical single-family home (valued at $436,291 according to Redfin) across all 50 states. Nationally, this equates to an extra $1,510 per month on top of the mortgage payment.

In 2020, these same expenses amounted to $14,428 annually, or $1,202 per month, for a typical single-family home.