The cost of owning a home in the U.S. has increased 26% since 2020, as expenses including taxes, insurance and utilities all soared during a period of high inflation across the economy.
The average annual outlay for owning and maintaining a typical single-family home — not including mortgage payments — totaled $18,118 in March, the personal finance website Bankrate found.
That works out to $1,510 a month, roughly $300 more than four years earlier, when pandemic lockdowns began.
The calculation is based on Redfin's March median sales price of $436,291.
"It was really eye-opening to see just how much it costs to maintain a home," said Jeff Ostrowski, an analyst at Bankrate. "Until you own a house, it doesn't dawn on you how much money you're throwing into the house every month and year."
In its analysis, Bankrate factored in property taxes, home insurance, energy costs, internet and cable bills, and 2% of the sales price for maintenance — expenses many buyers tend to underestimate.
Home maintenance accounted for the largest share of ownership costs in Bankrate's findings, so states where purchase prices rose dramatically through the pandemic saw bigger percentage jumps in overall outlays.
