Buying a Home in Las Vegas? Don't Forget These Hidden Costs

You close on your first home in the spring. By fall, your insurance renewal arrives, and the bill is higher than anything you budgeted for.

That’s exactly the scenario I want you to avoid in Las Vegas. And that starts with the full picture of homeownership costs, including the hidden costs most agents won’t mention. 

And to be clear, I’m not bringing up these costs to scare you. No doubt, what you’ve seen over the past 10 months alone would make that difficult. What I want you to avoid is the gut-hollowing shock of finding out that those hidden costs go well beyond what your budget can absorb.

Opening a bill feels very different depending on whether you’ve already got the money allocated for it, or you had no idea it was coming, or how much it would cost. 

So, if you’re buying a home in the next 6-12 months, here’s what you need to know to make sure all your housing costs are covered. 

What Homeowners Pay Beyond the Mortgage

Zillow and Thumbtack added up three costs every homeowner pays on top of a mortgage. Here's how the report’s $16,566 yearly total breaks down for the typical U.S. homeowner:

• Maintenance: $11,171 a year
• Property taxes: $3,129 a year (estimated)
• Homeowners insurance: $2,266 a year (estimated)

Maintenance makes up about two-thirds of the total. It's the biggest of the three costs in all 30 metros in the analysis.

The good news is these costs are growing at a slower pace. Here's how the numbers compare:

• Total hidden costs: up 2.8% over the past year, compared with 31.7% over five years
• Maintenance: yearly increases fell from 9% in 2022 to 1% in 2026

Zillow Senior Economist Kara Ng had this advice for home shoppers.

"Many households focus so much on winning the home and underestimate what it costs to live in it. 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."

Of the three hidden costs, insurance has seen the biggest increase over the past five years. Here's how each one has grown:

• Homeowners insurance: up 54%
• Maintenance: up 32%
• Property taxes: up 19%

How to Plan for These Costs Before You Buy

Knowing the full picture of costs going in means you won’t be surprised by the bills that come after moving day. 

This is what I want for you: as few surprises as possible that add to your housing costs. 

Picture this. One of those bills comes in, you open it and you smile just a bit, knowing you’ve got that expense covered. That’s the goal. 

Here are four planning tips to get you started:

1. Get an insurance quote before you make an offer. With premiums rising, the cost to insure a specific home can change what you can afford to pay for it.
2. Set a target monthly payment that includes these costs. Your budget should cover more than the loan itself.
3. Plan for maintenance from the start. It's the biggest hidden cost in every metro analyzed.
4. Think about the type of home you buy. A large single-family home with a big yard tends to cost more to maintain than a townhome or condo. New construction costs less per square foot and should need fewer repairs in the first few years.

Kendra Sinclair, Thumbtack's home trends expert, shared her take on maintenance costs.

"The slowdown in maintenance cost growth is welcome news for homeowners managing a lot of competing expenses. Planning for regular upkeep throughout the year can help prevent bigger repair bills and protect your savings when something unexpected happens."

If you're ready to compare insurance quotes, I can connect you with a few local providers so you can shop around, including Keith Berger with Farmers Insurance, who will shop other carriers to find you the best price.  

Budget for the Home You'll Live In

Your mortgage payment is just one piece of what it costs to own a home. A few insurance quotes and a maintenance budget can save you a lot of stress once you have the keys. 

If you're thinking about buying, let's run the full monthly numbers on the homes you're considering before you make an offer.