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5 unexpected old house costs

By: Shannon Lee , Contributing Writer
In: Home Improvement Tips

When you fall in love with an old house, it can be easy to ignore a few key points. It's not that you don't care -- it's just that you aren't seeing the home in all seasons, and you might not know the true facts about the bottom line. That's why it is important to not rush in, no matter how tempted you might be to get moved into that gorgeous home of your dreams.

You probably already know that you should keep at least ten percent tucked away in savings when you plan a home remodel. That's because it can be very easy to change something here, upgrade something there, and before you know it you have gone over the original budget. The same is true with buying an old house. Sock away some extra cash for those things you didn't expect to deal with after you move in.

Here are a few things that caught me by surprise when I bought my first old house:

  1. Landscaping. The reality of the landscaping around your house might not be evident in the season when you purchase it. For instance, moving into a house in the winter months leaves you with little idea of what the grounds might offer, beyond the hardscaping that you can see before the snow falls. Also remember that if the seller was truly motivated, the landscaping will be in tip-top shape, but you didn't see all the work that went into that. So be prepared for serious work or pleasant surprises, because you have no idea which one you will get.
  2. Maintenance. Of course you already know that moving into an old house brings unique maintenance challenges. Some old-fashioned features, such as knob and tube wiring, might require more frequent inspections, repair, or maintenance than what you might expect from a more modern home. But remember that an old house might need more maintenance simply because -- well, it's old! If you would plan a few thousand per year to maintain a newer home, double that for an older one.
  3. Surprise problems. Be ready for those things you can't anticipate. A good friend of mine moved into a home that seemed perfect, but after a few months she realized that the well water was kept clear only by changing the filters once a week -- and that meant getting into a rather cramped crawl space. After a few months of this, she dropped several thousand dollars on having the water system reconfigured and a second well dug, a cost that she hadn't anticipated. It pays to assume something is wrong, and will need to be fixed within a year or moving in.
  4. Taxes. Your home brings many beautiful things, but that annual tax bill is not one of them. Taxes rarely go down, and whatever your assessment was that first year, you can count on at least that every year thereafter. But if you renovate the place, add a new deck or other amenities, you just might see those taxes go up more than you expected. Just as you put away money to pay Uncle Sam each April, put away cash to pay the property taxes.
  5. Furniture. It is entirely possible to spend the majority of your savings on a down payment, move into the house of your dreams, and then realize that you don't have furniture that does the place justice. Look at your current furniture: Does it work with the house you want to buy? If not, what will you need to change? Plan carefully for the costs that will be associated with choosing the best furnishings for your house.

It's a harsh truth: Old houses can sometimes feel like a money pit. But if you go into the purchase with your eyes open and a good cushion for the unforeseen, you can create a beautiful home and keep your bank account intact.

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