Buying or Selling a Home/Cost for larger houses


QUESTION: I was wondering how one can determine a pretty close idea of the initial and continuing costs of buying and owning a large house? I'm just theorizing right now but if I saw a house of a size I'd like to determine the cost of living in of how would I go about it?

ANSWER: Dear James;
It really depends on how large a house, the age of the house, and the condition of the house. There are other things to consider as well.  What are the taxes?  How large is the land surrounding the house?  Are there fees associated with the community? Often, there are Homeowner's Associations.  Of course, the obvious answer is the costs escalate with higher square footage.  It costs more to clean, maintain, repair, etc.  If the grounds are manicured it will cost more to maintain them as well.  Energy bills will also be higher.  

It is a good idea to begin by asking the current owners for a rundown of their average utilities costs.  If they are unwilling to provide this information; call the utility companies yourself to inquire. If the home is older; you will also have to think ahead that every year something will need repair or replacement.  This will go from painting, to flooring, to roof.  Systems such as plumbing and HVAC do not last forever and if over 15 years old there is a good chance you will be faced with some repairs there as well.  Cleaning of windows, gutters, checking for wood rot and wood destroying insects all play into the maintenance costs as well.

Another good resource would be to speak with the listing agent for an overview of the actual costs of keeping up a home like the one you saw.

Your mortgage fees are easy to calculate either online or with a lender. You can talk to a lender and also find out the average costs for taxes, insurance and initial costs when you buy in order to close on the property.  I can offer an estimate that depending on your down payment; your closing costs will average anywhere from 2 to 3 percent of the cost of the home.

I hope that this helps you.

~Jessica Bryan

---------- FOLLOW-UP ----------

QUESTION: My focus is on the size of property only. Assuming it is built from the ground up somewhere out in the country away from schools and entertainment and stuff that would raise property cost. Just the physical building and surrounding property costs.

Hi again;
So then it is just about the house and I made a few suggestions about how to go about estimating the costs...looking at utilities, consulting with a local real estate agentand asking the owners the key questions.  If you are currently a homeowner you might start with what your costs are per month and based on the size of your residence add the extra size.  Is it double the size?  Then perhaps double the costs to maintain.

~Jessica Bryan

Buying or Selling a Home

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Jessica Bryan


buying and selling process such as:
General questions from first time buyers
How to market a home
Why choose a REALTOR
How do I find a REALTOR
Should I consider buying or selling without a REALTOR--how much can I save
Should I remodel or move
How much can I expect to gain by fixing up my home before selling
Helpful tips when selling
Helpful tips when buying
finding a good mortgage loan
what is the difference between banks, mortgage bankers, and mortgage brokers
Questions from the general public, people thinking about getting their real estate license, newly licensed.
Fellow professionals who have interests in networking and how to get started
What is a market evaluation and how does it differ from an appraisal what are the different loan programs
services a REALTOR can perform
when to use a lawyer
when to use escrow
what are the regional differences in the buying and selling process
what is the MLS and how does it work
how can the layman access information on the web--listings and other information
These are just a few of the questions. I can suggest that if I am unable to answer a question I will refer the inquiry to a source that can.


Anyone who is in this business and who dedicates oneself to professionalism has continued to take classes and along with it,additional credentials, awards and honors. I can list a host of them, but my greatest accomplishments happen to be those of getting first time buyers (who didn't think they could afford to buy a home)into a home of their dreams. The look on their faces when I hand over the keys is worth all of the hard work.

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