The Less Obvious Costs of Buying A Home

If you’re a first time homebuyer, or it’s been a while since you bought your home, you’re probably wondering what added costs are involved in purchasing a home, aside from your down payment.  Once you are under contract to purchase a home, your lender will provide you with a loan estimate, which will include an estimate of all closing costs.  However, you may want an idea of what these costs look like long before reaching that point in the homebuying process.  And rightly so:  it’s important to be informed ahead of time to avoid surprises – just a little preparation can make all the difference.  A general rule of thumb is to budget for 1% of the purchase price towards closing costs.  Below is a rough estimate* of some of the costs that might be involved with your home purchase.  (Please note these numbers are based on the San Francisco Bay Area real estate market and may vary.) Continue reading “The Less Obvious Costs of Buying A Home”