The Average Costs of Homeownership Over the First Year

Model house with calculator and keys

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The first year of homeownership can be one of the most expensive years. After all, new homeowners are paying for the down payment, closing fees, and the costs of moving in, while outfitting their new home.

SmartAsset evaluated data across the 20 largest cities to find which areas have the highest first-year housing costs. They factored in six metrics: median home value, down payment, average closing costs, monthly mortgage payment, property taxes, and homeowners insurance.

First-year homeownership costs can fluctuate greatly among metros. For example, in Indianapolis, new homeowners can expect to spend more than $50,000 over the first year—but that is 7.3 times less than in San Francisco. The average cost in San Francisco is $364,900.

A chart from SmartAsset showing the varying first-year homeownership costs from large cities throughout the U.S.