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Hidden Housing Costs: States With Highest and Lowest Expenses

arthursheikin@gmail.comBy No Comments5 Mins Read


2025-06-10T11:31:08Z

Homeowners face an average of $21,400 yearly in hidden costs like maintenance and utilities, Bankrate says.
Rising home values and inflation drive up property taxes and insurance premiums.
A Bankrate survey shows 42% of homeowners regret unexpected maintenance expenses.

When you buy a home, your principal and interest payments aren’t the only financial burdens you’ll have to worry about. Thousands in so-called “hidden costs” also come due every year.

According to a report from Bankrate this week, the average homeowner in the US spends around $21,400 a year on things like maintenance costs ($8,808), utilities and energy ($4,494), property taxes ($4,316), home insurance ($2,267), and internet and cable ($1,515).

“Hidden costs” have risen in recent years, the report said, as home values and inflation have surged.

“Higher home values mean bigger property taxes and homeowners insurance policies (and premiums). And in the last five years, inflation has also been rearing its ugly head in the rising cost of everything, including construction/home improvement materials, goods and services — and labor,” wrote Linda Bell, a senior writer on Bankrate’s Home Lending team, in the report.

Bell continued: “In Bankrate’s 2025 Homeowner Regrets Survey, nearly half of homeowners (42 percent) who had at least one misgiving about buying their home cited maintenance and other hidden costs as being more expensive than expected.”

These costs vary from state to state. In the report, Bankrate compiled the five most expensive states and the five least expensive states in the US. All 10 of those cities are listed below in order of their national ranking. Their total annual “hidden costs” are included, as well as commentary from Bell about particular costs for each state.

Here are the five states with the highest and lowest “hidden” costs, according to Bankrate.

1. Hawaii

Honolulu, Oahu, Hawaii beach

Honolulu, Hawaii


M Swiet Productions/Getty Images

Annual hidden costs: $34,573

Commentary: “Not only are the average hidden costs of homeownership more than $13,000 higher than the national average, but Hawaii is also the most expensive state in annual home maintenance budgets, averaging $19,642. Annual energy and utility costs also average $7,871, nearly $1,700 more than any other state.”

2. California

San Francisco, California

San Francisco, California


Alexander Spatari/Getty Images

Annual hidden costs: $32,262

Commentary: “Californians spend $17,338 a year on maintenance costs. Property taxes don’t offer much relief either: California is the fifth most expensive state in the U.S. in this category, with an average bill of $7,378 annually.”

3. New Jersey

Cape May, New Jersey.

Cape May, New Jersey.


Denis Tangney Jr/Getty Images

Annual hidden costs: $29,751

Commentary: “Property taxes average $10,485 annually, more than double the national average of $4,316. New Jersey is also the fourth most expensive state in energy and utility costs, which total $5,885 annually.”

4. Massachusetts

Boston

Boston, Massachussetts.


Shutterstock

Annual hidden costs: $29,277

Commentary: “The Bay State is one of the priciest places to own a home, due largely to it having the fourth-highest property taxes in the country at $7,987 per year. The state also ranks fifth in the U.S. for both home maintenance spending ($12,284) and energy and utility costs ($5,661).”

5. Washington

Seattle.

Seattle.


halbergman/Getty Images

Annual hidden costs: $27,444

Commentary: “Homeowners in the Evergreen State need plenty of green to cover their hidden costs of homeownership, which is fueled by the third-highest home maintenance costs in the country, averaging $13,166 annually. Washington is also the fourth most expensive state in annual internet and cable costs, averaging $1,726.”

46. Arkansas

Little Rock, Arkansas, skyline on the river at twilight.



Sean Pavone/Shutterstock

Annual hidden costs: $15,362

Commentary: “Arkansas keeps things affordable for homeowners when it comes to property taxes, which rank third-lowest nationwide at just $1,445 annually. Home maintenance costs are also budget-friendly, coming in seventh lowest at $5,126. Plus, Arkansas shares the eighth-lowest spot for internet and cable bills, averaging $1,378 a year.”

47. Missouri

Kansas City, Missouri.

Kansas City, Missouri.


Edwin Remsberg/Getty Images

Annual hidden costs: $15,349

Commentary: “Missouri has the 10th lowest energy and utility costs at $3,811 a year and matches that rank for home maintenance, averaging $5,272. Internet and cable costs are also reasonable, ranking 11th lowest nationwide at $1,415 annually.”

48. Indiana

Fort Wayne, Indiana seen from the water with clouds overhead

St. Marys River in Fort Wayne, Indiana.


Mike Kline (notkalvin)/Getty Images

Annual hidden costs: $14,903

Commentary: “Its homeowners get a big break with energy and utility bills, averaging on the lower end at $3,787 a year. Its home maintenance costs are also modest at $5,172, ranking ninth lowest.”

49. Mississippi

Highways converge in downtown Memphis, Tennessee, as they approach the Mississippi River.

Highways converge in downtown Memphis, Tennessee, as they approach the Mississippi River.


John Coletti/Getty Images

Annual hidden costs: $14,810

Commentary: “Energy and utility bills are the second lowest nationwide at $3,302 a year, while property taxes average just $1,490, the fourth-lowest. Even home maintenance costs are $5,090, ranking as the sixth lowest in the U.S.”

50. West Virginia

An aerial view of Harpers Ferry, West Virginia.

Harpers Ferry, West Virginia


Firepphotography1/Shutterstock

Annual hidden costs: $12,579

Commentary: “Two categories stand out in particular: Property taxes are the cheapest in the country at $1,063 a year, and homeowners insurance isn’t far behind, ranking fourth-lowest at $1,009 annually.”



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