#5 – Maintenance And Income Taxes
Even if the house you’ll be moving into isn’t in any need of repairs, you’ll still more than likely be paying an increased amount on maintenance. A good rule of thumb is to expect 1% of your new home’s total value to be needed for maintenance and repairs.
If your home actually is in need of repairs from the beginning, this number will be more around 1.25% of your home’s total value. Concerning taxes, if you have a larger mortgage payment and property tax, you will face a lower income tax. This is because property taxes and mortgage interest are deductible expenses on your federal income taxes, as well as on many state returns.