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monthly cost of buying a home?

I live in San Antonio,

I am going to move into a house in about one year. I am concerned that my cost of living will increase in areas I'm not expecting. My current monthly cost include

rent 750

electricty 100

water 15

What other cost should I expect? I understand that the mortgage payments will be higher then my rent. I'm thinking on a 30 year loan for 150,000 will run me something like 1000 dollars a month. I don't know what a good interest rate is. I've never bought a house, is it much different then renting? HELP!!

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  • 1 decade ago
    Favorite Answer

    I live in Texas also but about three hrs North of you. We are in the process of buying our second home. First of all relax. do you know your credit score?( called Fico score) You can get it once a yr free. This is good to do to make sure there isn't anything wrong on it. This score will determine what interest rate you can get. Don't buy anything on credit for up to 6 months before you purchase a car or home so you have a better score.You can go to a lender with all of your current bills,such as any loans you have outstanding; a copy of your bank statements, savings acct bal. and pay statement. They can tell you what your debt to income ratio is and how much house you could qualify for. They can do this without putting a "hit " or check on your credit report. ( every time you open up a store or regular credit card or any type of loan or even buying furnature your credit history is checked) If you have it looked at too often that will lower your score.

    You have to have mortgage(hazard) insurance( the insurance rate is based on the location of your home, age of your home, size of your home and the distance to the nearest fire station.( if you put in a security system it will help lower your insurance rate) Then there is property taxes.( Property taxes in Texas are high)

    Ex. Our house here in Texas was $147,000 @6% interest. We have our hazard insurance with USAA @ a cost of $490 ayr and we have a security system. Our property taxes for 06 with claiming homestead( you go to your tax office and apply, it lowers your tax rate alittle) was $4000 a yr. Our monthly payments were $1366. this = your principal payment, your monthly interest payment and a portion of your monthly taxes.( money for your taxes and insurance goes into an escrow acct. each month then payed out by the mortgage company when due)

    Owning is better than renting because it is an aset. You can claim the interest on your taxes. It is yours. You can paint or do whatever you want to it. Not that renting is bad either. It depends on your situation. If you are going to be in an area longer than 2 yrs you should buy if you can afford to.

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  • Anonymous
    1 decade ago

    pending on your credit rating you should be very close to what you are paying in rent now. elec and water will fluciate and water would probably be slighly more since you will use it more for say the yard or whatever. Your other BIG worry is property taxes wasn't san antonio home of the Alamo??? If so its historic area and property taxes will be very high. Which naturally the insanse insurance rates will hit you hard as well. Anything between 6-6.5% is considered average

    now a days.

    good luck

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  • Anonymous
    1 decade ago

    150,000 borrowed for 30 yrs.

    6% int

    900/month pymt.

    ? taxes

    ?insurance

    ?maintenance

    ?upkeep

    ?other things

    about $1,700/month would be a good # to look at as your out of pocket. This does not include the initial closing costs when you purchase the home. Try not to roll these costs into the loan. You will also pay PMI if you put less than 20% down on the house.

    Source(s): personal experience.
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  • 1 decade ago

    Cost wise ~~~ owning a home (buying one) is as expensive as having a child and raising it for 30 years, college expenses included.

    Home ownership in tails: property taxes that increase every year, home owners insurance which is mandatory if you are borrowing the money from a bank, constant repairs to the home inside and out, plus landscaping initial and yearly spring renewal, here in Southern CA ~~~ walls, fences and or gates are a near must ~

    mandatory if you have a pool. A security system is optional.

    I Hope I haven't discouraged you.

    Congratulations ~~~ it really is all worth it !!!

    Source(s): Take Care ~~~ and what have I forgotten ~~~ there always is "just one more thing"!!!!
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  • sup
    Lv 5
    1 decade ago

    expect taxes to be very high in San Antonio, probably $3800 or so a yr plus insurance.

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