What are some of the most important factors you should be considering when it comes to budgeting for your housing, and weighing the decision of buying a new place, or staying put?

For many this may be a great time to downsize or move up. For others staying in place may be the best choice. 

All too often homeowners and home buyers overlook some of the most critical expenses involved. Which frequently tricks them into poor choices, and puts them in desperate financial positions. 

Make sure you are addressing these factors…

Property Taxes 

There are many different real estate taxes involved. Especially in NY. This can make a big difference at closing when buying and selling a home. 

Most commonly overlooked are annual property taxes. That can put a big hole in your monthly and annual finances if you didn’t plan for them. 

Be sure you are also budgeting for them to go up every year too.

Though whether you stay in place, or move, remember you have the right to appeal and challenge your property tax assessment and bill too. 

Insurance 

Homeowners insurance is another of those monthly or annual bills that inevitably seem to go up frequently. 

Be sure to optimize your coverage, and have coverages for all the quirks and risks you may face. Like hurricanes, flooding, and snow storms. 

According to Zillow and Bloomberg, as many as 90% of home buyers are also now considering climate change and natural disasters as a major factoring when picking where to buy a home. Which goes hand in hand with having a reserve fund for maintenance and replacements. Or at least a good home warranty plan. 

Utilities

Water, heat, cooling, power, and wifi, all add to the monthly cost of your housing. 

Finance Costs

In addition to your mortgage interest rate there may be mortgage insurance, as well as hefty loan closing costs when you take out a new loan. 

It is also vital to factor the length of your loan and what the market may be like then. As well as the risks of choosing adjustable rate mortgage loans.