How this calculator works
Principal and interest come from your loan; property tax and maintenance are annual percentages of the home's value spread over 12 months; insurance, HOA and utilities are added as entered. The result shows how much ownership costs beyond the mortgage payment.
Worked example
With the example values below: Monthly cost to own, $3,170 ($38,044 a year). Change any number above to run your own.
What you enter
| Input | Example |
|---|---|
| Home value | $400,000 |
| Loan amount | $320,000 |
| Interest rate | 6.25% |
| Loan term | 30 years |
| Property tax rate | 1.1% |
| Insurance / yr | $1,800 |
| HOA / month | $0 |
| Maintenance / yr (% of value) | 1% |
| Utilities / month | $350 |
The full cost of owning a home
The mortgage payment is only part of the cost. Owners also pay property tax, homeowners insurance, maintenance and repairs, utilities, and often HOA dues. Together these can add 30% to 50% on top of principal and interest.
This calculator adds them into one monthly figure and shows how much ownership costs beyond the mortgage, which is the number to compare with rent or plug into your budget.
Typical costs to budget for
| Cost | Typical amount |
|---|---|
| Property tax | 0.3% to 2.2% of value a year, depending on location |
| Homeowners insurance | About $1,500 to $3,000+ a year; higher in storm and wildfire areas |
| Maintenance and repairs | 1% to 2% of value a year |
| Utilities | $300 to $600 a month for a typical single-family home |
| HOA dues | $0 to several hundred dollars a month |
| PMI | About 0.3% to 1.5% of the loan a year with under 20% down |
Maintenance: the cost people underestimate
The 1% rule says to set aside 1% of the home's value each year for maintenance; older homes and homes in harsh climates often need 2% or more. Big items arrive on a schedule: roofs last about 20 to 30 years, water heaters 8 to 12, HVAC systems 15 to 20. Setting money aside monthly turns those into predictable costs.
Keep a separate home repair fund on top of your emergency fund, so a new furnace doesn't wipe out your cushion for job loss.
Using the result
Compare your total monthly cost with your take-home pay; many planners suggest keeping total housing costs under about 30% of gross income. If you're deciding whether to buy at all, the rent vs. buy calculator compares the long-run outcome, and the how much house can I afford calculator shows a price that leaves room for these costs.
Frequently asked questions
How much does it cost to own a home per month?
Add principal and interest, property tax, insurance, maintenance, utilities and any HOA dues and PMI. For a $400,000 home with a typical mortgage, the total is often $3,300 to $4,000 a month, with $800 to $1,500 of that beyond the mortgage payment.
What is the 1% rule for home maintenance?
A rule of thumb to budget 1% of your home's value each year for maintenance and repairs: $4,000 a year, or about $333 a month, on a $400,000 home. Older homes often need 2% or more.
What hidden costs come with owning a home?
Maintenance and repairs, higher utility bills than an apartment, HOA dues and special assessments, rising property taxes and insurance premiums, and furnishing and landscaping.
How much should I spend on housing?
Many planners suggest total housing costs of no more than about 28% to 30% of gross income. Lenders allow up to 28% for the mortgage payment alone, so leave room for maintenance and utilities.
Do property taxes and insurance go up?
Usually. Property taxes rise when assessments or local rates rise, and insurance premiums have risen quickly in many states. If they're paid through escrow, your mortgage payment adjusts each year.
Grow what this calculator projects.
TruthSayer AI sends quantitative stock signals across valuations, earnings and dark-pool activity, each one traded in its own funded account first.
Estimates for planning only, not financial, tax or legal advice. Tax tools use 2026 federal figures (brackets, $16,100 / $32,200 standard deduction, $19,000 gift exclusion, $15M lifetime exemption). Rates shown as defaults are examples; replace them with quotes you actually receive.