WASHINGTON — According to a fresh analysis from Zillow and Thumbtack, the often-overlooked costs associated with home ownership have surged to nearly $16,000 annually across the nation, surpassing the rise in most household incomes.

The study reveals that the average homeowner now shells out $15,979 each year, equating to approximately $1,325 per month on non-mortgage expenses. These costs encompass around $10,946 for maintenance, $2,003 for homeowners insurance, and $3,030 for property taxes. Collectively, these expenses have increased by 4.7% over the past year, overshadowing a 3.8% rise in household incomes during the same period.

To determine the upward trend in these costs, Zillow assessed local property taxes and insurance premiums, while Thumbtack evaluated the annual maintenance expenses using actual project data from both homeowners and professionals. The maintenance figures account for expenditures such as HVAC system upkeep, roof repairs, lawn care, gutter cleaning, tree trimming, and water heater maintenance.

The financial burden is most pronounced in high-cost cities along the East Coast. In New York City, hidden homeownership expenses now average $24,381 annually, followed by $22,781 in San Francisco and $21,320 in Boston.

Zillow says one of the biggest drivers of rising costs is homeowners insurance. Premiums have surged 48% nationally since early 2020. For example, in Miami, the typical annual premium is now $4,607, up 72% in just over five years. Other Florida cities, including Jacksonville, Tampa and Orlando, have also seen similar spikes. 

Outside Florida, premiums jumped 79% in New Orleans, 59% in Sacramento and 58% in Atlanta.

“Insurance costs are rising nearly twice as fast as homeowner incomes,” Kara Ng, senior economist at Zillow said. “It’s not just a budget line item. It’s a barrier to entry for aspiring first-time buyers and for families already stretched thin.”

“Home maintenance is often one of the most overlooked parts of owning a home when it comes to budgeting for the year,” Morgan Olsen, Thumbtack home expert said. “Think of preventative maintenance as a safety net for your biggest asset. Spending a little each season helps spread out costs and keeps your home prepared for whatever the weather brings.”