Discover the 3 most expensive surprises that await first-time homebuyers

As home prices rise to record highs and mortgage interest rates soar, homeownership has become increasingly unaffordable. According to experts, hidden costs can surprise first-time buyers.

Aside from the typical mortgage payment, the average homeowner spends $14,155 per year on everyday home expenses such as utility bills, property taxes, insurance, and home maintenance, as reported by Zillow and Thumbtack in a June report.

Certified financial planner Vince Darling at the Stonebridge Group in Forest Lake, Minnesota, advises that many homebuyers only focus on the principal and interest of their mortgage payment, which can lead to penny-pinching once they move into a new home.

Here are three of the most common surprise homeownership expenses and how to prepare for each one, according to experts.

As a first-time homebuyer, it’s easy to overlook property taxes since you’ve never paid them directly. These rates often vary widely by city or county, making it harder to plan for the bill.

Richard Auxier, a senior policy associate at the Urban-Brookings Tax Policy Center, suggests contacting the local representative to gain insight into the jurisdictions that levy the taxes and how often reassessments occur.

Homeowners insurance can be another major expense, with an average yearly premium of $1,428 for $250,000 in dwelling coverage, according to Bankrate. However, premiums can be significantly higher in disaster-prone areas.

CFP Kevin Brady from Wealthspire Advisors in New York advises checking for coverage of key weather events and considering separate policies for floods and earthquakes. It is also recommended to gather insurance quotes before making a home purchase offer.