When you are preparing to buy a home, it is important to understand the additional costs, beyond the purchase price, that are involved. There are things like closing costs and inspection fees you’ll need to save for.
For example, a home inspection is likely to cost around $500. That does not include a pest inspection, inspecting a septic system, and so on. There are other fees too, related to your loan and the attorney who will perform the closing. All these additional costs can easily reach $4000 or more.
But don’t worry!
- Some types of loans allow you to finance some of the closing costs.
- As part of your offer, you can ask a seller to pay part of your closing costs (this works best if you’ve made a strong offer).
- Here is a great savings plan posted by The Stingy Saver that can help you squirrel away $5000 in one year! Want to buy a home in the near future? Start saving now, so you’ll be ready.