🏡 Hidden Costs First-Time Homebuyers Often Forget About in New Jersey

Buying your first home in New Jersey is exciting — but it also comes with a few expenses that can catch new buyers off guard.
According to local Realtor Lorraine Macaluso, understanding these hidden costs early helps buyers plan with confidence and avoid last-minute surprises.
Here’s what every first-time buyer in NJ should budget for.

💰 1. Closing Costs

Many buyers focus on the down payment and forget about closing costs, which typically range from 2% to 5% of the purchase price.
These include attorney fees, title insurance, lender charges, and escrow payments.
For example, on a $500,000 home in Union County, closing costs could total $10,000–$25,000.
In addition, buyers who plan ahead can sometimes negotiate credits or choose lender programs that reduce those fees.

🧾 2. Property Taxes and Home Insurance

In New Jersey, property taxes are among the highest in the country — and they vary widely by town.
For instance, Scotch Plains and Westfield may differ by several thousand dollars annually.
Therefore, Lorraine advises her clients to estimate property taxes and insurance before making an offer, so monthly costs remain comfortable long after closing.

🪜 3. Inspections and Appraisals

Meanwhile, buyers often forget to budget for inspections, appraisals, or re-inspections if repairs are needed.
These services ensure the home’s condition and value are verified — typically costing $600–$1,200 total.
As a result, skipping them can lead to unexpected repair costs later, especially in older New Jersey homes.

🧰 4. Immediate Maintenance and Utilities

Even brand-new homeowners face start-up costs: utility deposits, lawn care, and small repairs.
In addition, first-time buyers often underestimate the price of routine maintenance — filters, smoke detectors, or appliance servicing.
Lorraine encourages buyers to set aside at least 1% of the home’s value each year for upkeep, especially for single-family homes.

🪶 5. Moving and Setup Costs

Instead of thinking only about the mortgage, remember to plan for movers, boxes, new locks, and window treatments.
For example, a local move within Union County can run from $800 to $2,000 depending on size and distance.
Therefore, factoring in these extras helps buyers stay within their total homeownership budget.

💡 Lorraine’s Local Insight

Lorraine Macaluso works closely with first-time buyers across Union, Middlesex, and Somerset Counties, helping them prepare not just for the purchase — but for the whole experience of homeownership.
Her clients appreciate her patience, detailed guidance, and ability to explain every cost clearly.
As a result, buyers enter their new homes feeling informed, not overwhelmed.

💬 Planning to Buy in 2025?

If you’re ready to buy your first home in New Jersey, Realtor Lorraine Macaluso can guide you through the process from pre-approval to closing day.
She’ll help you budget for every step, connect you with trusted local lenders, and make sure there are no surprises along the way.