They say nothing is free. And well “they” are kind of right. Buying a new home has it’s own set of expenses that are often overlooked. Here are our top five expenses and a ballpark price for each.
1. Earnest Money
In Georgia, Earnest Money is like that sign of good faith that you, the buyer, have some skin in the game. It’s what’s on the line as soon as you go under contract on a home. Often times it’s about 1% of the purchase price. So be ready to write that check when the words “congratulations, you’re under contract!” hit your ears.
The appraisal will be ordered by your lender, but you get the pleasure of paying for it. Your lender will coordinate everything but be ready for a $400-$500 expense while you’re under contract.
3. Inspections… And Re-Inspections
You’ll want to have a professional home inspector visit your soon-to-be new home and give it a once over. But they’re not coming out until you pay them in advance. Often this expense is $300+ and is dependent on the size and structure of the home. Should the inspector need to come back out right before closing to verify any seller-made repairs are done and done correctly, that’s another expense. But totally worth it.
4. Fee To Send The Wire
The bank will gladly hold your money for as long as you like. But if you’d like to send any of that money, in a large sum via a wire, to say some place like a closing attorney’s office so you can buy a home, ya they’re going to charge you. Sure it’s only $30-$40 depending on your bank, but you’d be surprised how many clients are shocked there’s a fee to take their money out of their bank account and have it sent so they can buy their house. #costofdoingbusiness
5. All Those Trips To The Store
You know all those random trips to the store right after you buy your new home for random things like light bulbs, a shower curtain rod that fits, the cute new front door welcome mat, the extra trash can? Ya, they all add up. So when someone wants to get you a housewarming present just tell them you want cold hard cash. Because you’re going to spend it.