Owning a home has become more expensive, with hidden costs rising by 26% since 2020. A report from Bankrate highlights the various factors contributing to this increase, including property taxes, insurance, maintenance, and utility bills.
According to the report, the average annual hidden costs of homeownership have soared from $14,428 per year in 2020 to $18,118 per year in 2024. This increase is on top of the monthly mortgage payments homeowners need to make.
Hawaii ranks as the state with the highest hidden homeownership costs, driven by the steep price of single-family homes. The cost of living in Hawaii is 65.7% higher than the national average.
Surprisingly, New Hampshire also made it to the top ten list with an average annual hidden cost of $23,256.
Top 10 States with the Highest Hidden Homeownership Costs:
1. Hawaii
Average annual hidden homeownership costs in 2024: $29,015
Percent difference from 2020 to 2024: 38%
2. California
Average annual hidden homeownership costs in 2024: $28,790
Percent difference from 2020 to 2024: 32%
3. Massachusetts
Average annual hidden homeownership costs in 2024: $26,313
Percent difference from 2020 to 2024: 28%
4. New Jersey
Average annual hidden homeownership costs in 2024: $25,573
Percent difference from 2020 to 2024: 25%
5. Connecticut
Average annual hidden homeownership costs in 2024: $23,515
Percent difference from 2020 to 2024: 24%
6. Washington
Average annual hidden homeownership costs in 2024: $23,365
Percent difference from 2020 to 2024: 32%
7. New Hampshire
Average annual hidden homeownership costs in 2024: $23,256
Percent difference from 2020 to 2024: 29%
8. New York
Average annual hidden homeownership costs in 2024: $22,807
Percent difference from 2020 to 2024: 25%
9. Rhode Island
Average annual hidden homeownership costs in 2024: $21,994
Percent difference from 2020 to 2024: 27%
10. Colorado
Average annual hidden homeownership costs in 2024: $21,038
Percent difference from 2020 to 2024: 33%