Study: Boston homeownership comes with more ‘hidden’ expenses than anywhere else
A new study from Zillow and Thumbtack shows Boston pays more in both “unavoidable’’ and “optional’’ expenses.
As if buying a home in Boston wasn’t expensive enough already.
A new study finds Boston homeowners shell out more each year in hidden homeownership expenses than the rest of the nation.
The analysis was conducted by online real estate site firm Zillow, and Thumbtack, an online marketplace aimed at connecting consumers with service professionals. According to the report, the average U.S. homeowner pays $6,042 annually in “unavoidable hidden costs’’ which includes taxes, utilities, and homeowners insurance. But homeowners in the Greater Boston market can expect to pay $9,413 each year, much higher than the national average and the most of any major metro area.
In a phone call with Boston.com, Thumbtack Chief Economist Jon Lieber said the weather is partly to blame for Boston homeowners’ financial woes.
“Boston and Massachusetts is a higher tax area, and due to the hot, humid summers and brutal winters utilities are higher,’’ said Lieber. “Those are the two biggest factors that caused the biggest variations.’’
But it doesn’t stop there. The report also found Boston homeowners can expect to pay $4,517 each year in optional maintenance costs, including lawn care and gutter cleaning services. This is the second-highest rate for optional maintenance costs, after San Francisco, and higher than the national average of $3,435.
Lieber told Boston.com that Boston has the highest lawn care costs in the country according to the report’s findings, which could be a result of the region’s dense population and a short supply of labor.
“This is probably due to higher wage costs, and lower availability of low-wage [workers],’’ said Lieber.
Lieber suggests homeowners keep both unavoidable and optional costs in mind when buying a property to avoid sticker shock.
“You have to have a general awareness of these costs and account for them when buying,’’ said Lieber. “Especially in Boston where taxes and maintenance costs are so high. You don’t want to go into this blindly when you buy your first home.’’
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