Buying a house involves more than just a down payment and monthly mortgage. Owning real estate comes with extra costs, especially when unexpected repairs arise. In 2020, the average household spent $13,138 on home repairs and services, up from $9,081 the previous year.
Home repair expenses can add up quickly. Even if you do the work yourself, you need to consider the cost of materials and your time. Experts suggest setting aside at least one percent of your home’s value annually for maintenance and emergencies. However, predicting and valuing these costs can be challenging. Here are some common home repair costs to help you prepare for potential issues.
Preventive measures like cleaning gutters or switching out storm windows can help reduce repair costs. But if your pipes burst and flood the basement, you could be looking at thousands of dollars in immediate expenses. Similarly, if a tornado knocks a tree onto your roof, the repair costs can be substantial. Many Americans lack the savings to cover such emergencies, so it’s wise to prepare for unexpected home repairs.
Foundation damage is common due to weather changes, which can make wood beams susceptible to termites. Repairing foundation issues can be complicated and expensive, often costing over $10,000. The average cost ranges from $2,008 to $7,040, but can go up to $40,000.
Electrical issues should be handled by professionals to avoid risks like electrocution or fire. Depending on the problem, repairs can cost from a few hundred to several thousand dollars. Minor repairs range from $141 to $419, while full wiring can cost $2,000 to $6,000.
Roof problems need immediate attention to prevent further damage. Signs include ceiling stains, leaks, or missing shingles. Roof repairs can cost between $300 to $2,000, and a full replacement ranges from $5,397 to $11,035.
Water heaters eventually break down due to mineral buildup and overuse. Repairs can cost $579, while replacements can go up to $1,300. A functioning water heater is essential, especially in winter.
Water damage can result from small pipe holes, poor plumbing work, or leaky roofs. Repair costs average between $1,181 and $4,938, with an average of $3,046.
Old pipes often need repairs after home inspections. Issues can stem from outdated materials or aging systems. Repair costs range from $300 for leaks to $2,500 for sewer line repairs.
Septic system repairs are unpleasant and costly, often exceeding $1,000. Professional repairs average $1,702, while new installations range from $3,000 to $9,500.
New heating or cooling units are expensive but necessary investments, lasting 12 to 15 years. Repairing an A/C unit can cost up to $577, while furnace installations range from $5,000 to $12,500.
Mold in homes can cause health problems, especially for children. Minor mold removal can be done with cleaning products, but extensive growth requires professional help. Mold remediation averages $2,218.
Termites cause significant damage, costing homeowners an average of $565 for treatment and up to $8,000 for extensive repairs. Early detection and professional help are crucial.
Unexpected home repairs can strain your budget. An emergency fund can be a lifesaver, but many Americans lack sufficient savings. A personal loan might help cover major repairs. Loans with reasonable interest rates and fixed payments can make it easier to hire professionals without resorting to high-interest credit cards.
Using a credit card for emergency repairs can lead to high-interest debt. Personal loans offer fixed rates and manageable payments, helping you avoid credit card debt. SoFi offers loans with no fees or prepayment penalties and may even help improve your credit score. SoFi loans are ideal for home improvements, with low rates and an easy payment schedule. They also offer unemployment protection, allowing you to pause payments if you lose your job.
Unexpected repairs like fixing termite damage or replacing a water heater can quickly deplete your savings. Having a savings account or loan for emergencies is wise. Repair costs vary by location and damage extent. If you’re facing common repair costs, consider a home improvement loan from SoFi.