Carrying Costs Associated with Home Ownership

Before purchasing a home, it is a good idea for consumers to be aware of what it costs them each month to run their home. You as a real estate professional can help them get the information they require about a home's carrying costs.

Aside from monthly mortgage payments, there are other costs that homeowners will have.

Property Taxes

Property tax information should be found on a listing but it should be confirmed or verified. Depending on the time of year, the amount on the listing could be from the previous taxation year and therefore the taxes for the current year could be higher. You as a real estate professional should verify the property tax information for your clients.

Condominium Fees

The listing should contain the condominium fee or maintenance fee amount but again this information should be verified along with what is included in the fee.

Other Costs

There are also a number of monthly costs for maintaining a home. These include heat - which could be gas, propane, oil, electric or wood, hydro costs and fees for munincipal water, sewer or garbage pick-up.

Rental Items

A home may have rental items and buyers need to be aware of which items are rental. Homeowners can either own or lease their hot water tank, furnace, air conditioning unit or ducting.

Parking & Locker For Condos

If a buyer is deciding to purchase a condo unit, it is important to look at whether the unit comes with a parking space. Some condo units may also come with a locker and others may not.

Liability and Property Damage Insurance

Without this insurance, buyers will not be able to get a mortgage. Buyers can get quotes from different insurance companies and select one that provides the best coverage for a price that they can afford.

Rainy Day Savings

Homeowners can set a savings account aside to cover for any repairs that may come up over time with home ownership.

Reference: Reco's Ask Joe Column