The Hidden Costs of Buying a Home in San Antonio

From lender fees to prepaid taxes, these often-overlooked expenses can add more to your home's purchase price.

Are you ready for the hidden costs of buying a home? When most people think about buying a house, they only picture the price tag. But the truth is, there are extra costs that sneak in along the way, and if you’re not ready for them, they can really surprise you. Let’s go over the costs that can sneak up on you during the buying process.

1. Closing costs. One of the first things to plan for is closing costs. In 2025, I usually tell buyers to expect anywhere from 2% to 5% of the purchase price. This covers things like lender fees, the appraisal, escrow, and even title insurance.

2. Prepaid costs and escrow fees. Lenders typically want 6 to 12 months of homeowners' insurance and property taxes paid upfront at closing. A lot of buyers don’t see that coming, which is why a good realtor should always point it out ahead of time.

3. Home inspections. They’re important, but they’re not cheap. Depending on how detailed you want them to be, they can run anywhere from $300 to $700. That’s why it’s important to check the inspection fees before you schedule one.

"Some expenses can’t be rolled into your loan, which makes saving even more important."

4. Furnishing, decorating, and repairs. One of the biggest expenses after moving has always been furnishing the home. If you’re upgrading to a larger or more luxurious place, your old furniture might not fill the space or even fit the style. Add in painting and small repairs, and these costs can really add up fast.

The value of saving ahead. Some expenses can’t be rolled into your loan, which makes saving even more important. I always recommend setting aside extra funds if you can. A home that feels complete and well-decorated makes a big difference when you move in, and even though money is tight these days, being prepared for these costs makes the transition smoother.

At the end of the day, buying a home is still worth it. Once you get past those initial expenses, you’re in a place where you can start building equity. In the long run, that’s a lot more rewarding than paying rent, and all the effort to cover those costs is worth it. If you need help, just reach out to me at 210-598-6752 or send an email to Tom@PinnacleTex.com. I’m here for you.