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Homeownership · Insurance Costs · Maintenance Costs · Property Taxes
A new study by Zillow and Thumbtack reveals that U.S. homeowners face average annual "hidden costs" of $15,979, driven by a 48% surge in insurance premiums over the past five years, alongside rising maintenance and property tax expenses, significantly outpacing household income growth.
The analysis details these hidden costs as $2,003 for homeowners' insurance, $3,030 for property tax, and $10,946 for average maintenance. Household incomes increased by 3.8% in the past year, while insurance costs rose 4.7%.
Specific regions show even higher insurance hikes, with Miami experiencing a 72% increase to $4,607 in five years, and New Orleans, Sacramento, and Atlanta seeing 56% to 72% surges. Another Bankrate study earlier this year found the annual average cost of owning and maintaining a single-family home in the U.S. was $21,400, including maintenance ($8,808), utilities ($4,494), property taxes ($4,316), home insurance ($2,267), and internet/cable ($1,515).
Hidden costs in expensive coastal metro areas like New York City, San Francisco, and Boston range from $21,320 to $24,381, with New York City ($24,341) leading the top five cities for highest hidden costs.
