Buying a house is more than a mortgage: 5 property costs to budget for

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Buying a house is very expensive, especially in today's property market where a mere one million dollars won’t get you too far in the big cities!

If you’re in the market, there are various ongoing payments that need to be considered on top of just paying back your home loan. These additional costs are often forgotten about when evaluating the cost of a home but they are important in maintaining the standard of your home and keeping your utilities turned on!

Here are some additional home costs you may not have considered:

Home and contents insurance: home insurance, also known as building or homeowners insurance, is designed to protect your home against events that are out of your control, such as fires, floods and storms. The cost of home insurance can depend on the type of property and factors such as size and age of the property are factors. You can compare different insurance packages here at Mozo, with the top products expertly picked by our team.

Utilities: electricity, gas, water and internet connection are all examples of utilities that cost money on top of your regular mortgage repayments.

General maintenance: general maintenance jobs such as paint touch-ups, clogged gutters, tightening leaky taps and unclogging blocked pipes can be expensive if you require a specialist such as a plumber or a builder. These additional costs are important to consider and budget for in case of an emergency. For tips on how to improve your home for a good price, there are some useful tips on this guide.

Garden maintenance: if you own a house with a garden, you may need to contract a gardener to help you maintain your garden, alternatively, if you do it yourself, garden tools, plants and weed killer products all cost money.

How to make my home ownership budget work:

Start by creating a budget and including all of your regular costs, such as mortgage repayments and utility bills. Don’t forget to allocate an appropriate amount of money to save regularly in case of an emergency such as home maintenance.

If you don’t know how to start setting out a budget, check out our guide, How to create a budget for some useful tips.

If you need help calculating all of your costs and creating a budget, check out our budget calculator.

Looking to buy a home? Check out our home loan rates - last updated 24 February 2024

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