What Most First-Time Buyers (and Even Some Seasoned Ones) Don’t Know
Buying a home is one of the most exciting milestones in life. Whether you're a first-time buyer or a seasoned homeowner looking for your next move, there’s nothing quite like the thrill of finding “the one.”
But as you’re calculating your down payment, monthly mortgage, and maybe even shopping for furniture… there’s one thing many buyers don’t fully expect:
👉 The hidden costs.
At Helen Oliveri Real Estate, we’ve helped countless buyers across Hawthorn Woods, Lake Zurich, Mundelein, and the Chicago suburbs navigate the full picture of homeownership. And today, we're revealing the often overlooked costs that could surprise you, so you can plan with confidence and avoid being blindsided.
🏦 1. Closing Costs: More Than Just a Signature
Typical range: 2%–5% of the home’s purchase price.
Beyond your down payment, you’ll also need to bring closing costs to the table. These include:
Loan origination fees
Title search and insurance
Appraisal fees
Attorney fees (Illinois is an attorney state!)
Recording fees & taxes
Prepaid interest or escrow for taxes and insurance
💡 Pro tip: Always ask for a Loan Estimate early in the process. And if you're working with Helen Oliveri Real Estate, we’ll help you compare lender quotes to minimize these costs.
🧰 2. Home Inspection & Testing Fees
Estimated cost: $400–$1,000+
Before finalizing your purchase, you’ll likely conduct a home inspection, and possibly additional tests like:
Radon testing
Sewer scope
Mold inspection
Termite or pest inspection
Chimney or roof inspections
While not always mandatory, skipping these can cost far more in the long run. Identifying issues early can also give you leverage during negotiations.
🛋️ 3. Move-In Expenses & Immediate Repairs
Even if your home is in great shape, odds are you’ll want (or need) to make a few changes:
Paint
Locks changed
Blinds or window coverings
Furniture to fit the space
Small appliance upgrades
These costs add up quickly. We recommend budgeting $2,000–$5,000 for move-in essentials, even more if you're coming from a smaller space.
🛠️ 4. Maintenance Costs (They Start Right Away)
Once you're the homeowner, the maintenance is all yours. On average, you should budget 1%–2% of your home’s value per year for maintenance.
That means:
HVAC tune-ups
Lawn care & landscaping
Gutter cleaning
Water heater flushes
Snow removal (welcome to Chicagoland!)
And don't forget annual servicing for major systems, especially before extreme seasonal changes.
🧾 5. Property Taxes & Insurance Adjustments
Your mortgage lender will often collect escrow funds for property taxes and homeowner’s insurance, but here’s the kicker:
🔍 After closing, your property taxes may be reassessed based on the new purchase price, which can cause a jump in monthly payments.
Helen Oliveri Real Estate helps buyers in Lake and Cook County estimate taxes more accurately and understand how they may change post-sale.
🧼 6. HOA Fees, Special Assessments & Utility Setups
If you're buying in a community with an HOA (Homeowner’s Association), there may be:
Monthly or quarterly dues
Move-in fees
Transfer or document fees
Special assessments (for roof repairs, road maintenance, etc.)
And don’t forget to budget for new utility setups:
Water
Gas & electric
Internet & cable
Trash pickup
💡 Ask for an HOA disclosure and a breakdown of average utility bills before you close. We’ll help you get the real numbers.
🔐 7. Optional (But Smart) Protection Costs
Some buyers invest in:
Home warranties (average: $400–$800/year)
Flood or supplemental insurance (if required)
Security systems or smart home upgrades
These aren't required, but they can protect you from unexpected costs and provide peace of mind.
💡 How to Budget for Hidden Costs (Without Breaking the Bank)
Here’s a simple rule of thumb:
✅ In addition to your down payment, save 3%–5% of the purchase price for all other costs.
So, for a $500,000 home, plan for an extra $15,000–$25,000 in reserves to cover closing, inspections, move-in expenses, and a cushion for the unknown.
And remember:
You don’t have to go it alone.
🤝 Why Working with a Local Expert Makes All the Difference
At Helen Oliveri Real Estate, we help you look beyond the listing price, so you can move forward with confidence, clarity, and control.
We guide you through the entire process
Help you compare lenders, avoid pitfalls, and budget wisely
Leverage our trusted network of inspectors, attorneys, and service providers
Negotiate terms that protect your investment
Our mission isn’t just to help you buy a home. It’s to help you buy wisely.
📲 Ready to Buy Smart in 2025?
Let us help you prepare, plan, and purchase with confidence, without the financial surprises. If you’re thinking of buying a home in Hawthorn Woods, Lake Zurich, Volo, or any Chicago suburb, we’re your go-to team.
Call Helen Oliveri Real Estate at 847-967-0022
Or message us on Instagram @helenoliveri 👈
