On average, American homebuyers are spending nearly $32,000 beyond their down payment
Nov. 12, 2024
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In a recent survey, many homeowners reported being surprised by the additional costs associated with purchasing a home.
With a focus on the listing price, many homebuyers overlook the extra costs associated with purchasing a home. Clever Real Estate, a real estate marketing platform, conducted a survey of recent homebuyers and found that Americans spend an additional $31,975 on average for initial homebuying costs beyond their down payment. Overall, 72% of surveyed buyers have regrets about their purchases, and 68% say they would have made different choices if they could, with most believing they could have saved up to $24,000 by taking a different approach. Closing costs were also a major challenge for many buyers, with 45% saying they were surprised by the $4,754 average cost.
Like everything in real estate, though, buyers can negotiate who pays their closing costs. Nearly 1 in 4 buyers (24%) asked the seller to pay for some or all of their closing expenses. Of those who were successful, sellers chipped in roughly $4,752.
But not all buyers are so lucky. The majority are still on the hook for closing costs — even if few know what they're actually paying for.Read more
