The hidden costs of homeownership are rising and have increased by nearly one-third in the last five years, as things like insurance, maintenance and property taxes take a bite out of homeowners’ budgets.
A new report by Zillow and Thumbtack found that those costs amount to about $16,566 per year, which amounts to roughly $1,380 a month in addition to a mortgage payment.
Within the $16,566 total cost, the typical U.S. homeowner faces about $11,171 in annual maintenance, $2,266 on homeowners insurance, as well as $3,129 on property taxes.
“Many households focus so much on winning the home and underestimate what it costs to live in it,” said Zillow senior economist Kara Ng. “Long after they receive the keys, insurance, taxes and upkeep are recurring expenses to plan for. Since these homeownership costs vary so much by market, home shoppers should run the numbers and understand what they can truly afford before they make an offer.”
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Hidden costs have risen in recent years, with the biggest jump occurring in homeowners insurance premiums, which are up 54% over the last five years.
Maintenance costs experienced the second-fastest growth rate and are up 32% over the past five years, while property taxes grew 19% in that period.
Overall homeownership costs increased 3% in the last year, but are up 32% over the past five years.
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The Zillow and Thumbtack analysis found that maintenance costs showed the clearest slowdown, as annual increases in maintenance costs eased in each of the last five years, slowing from 9% in 2022 to 1% in 2026.
Insurance is following a similar pattern, with premiums rising just 0.3% between February and June 2026.
“The slowdown in maintenance cost growth is welcome news for homeowners managing a lot of competing expenses,” said Kendra Sinclair, Thumbtack’s home trends expert. “Planning for regular upkeep throughout the year can help prevent bigger repair bills and protect your savings when something unexpected happens.”
AFFORDABLE HOMES ARE STILL A REALITY IN THESE MAJOR US CITIES
The biggest increases in hidden homeownership costs were in a handful of metro areas. Insurance premiums have risen at least 50% over five years in 19 of the 30 metros analyzed, with the largest increases in Dallas (75%), Tampa (71%), Denver (70%) and Houston (69%).
Those insurance premium increases may be driven in part by severe weather, including hail, tornadoes and damaging winds.
Maintenance was the largest hidden cost in the country, covering about two-thirds of the national total, and was above $12,000 in six major metro areas, including Seattle ($12,594) and Boston ($12,486).
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The sharpest uptick in maintenance expenses was in Los Angeles, with expenses up 27% year over year, which the analysis attributed to a mix of regional factors like wildfire-related recovery efforts, heightened demand for home services and persistently elevated labor costs.
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