Hidden Costs of Buying a Home in Frisco, TX – What Buyers
Need to Know

Buying a home is one of the biggest investments you’ll ever make—and if you’re shopping for
real estate in Frisco, Texas, you’re already navigating one of the most competitive and fastest-
growing markets in the state. While most buyers budget for the down payment and
mortgage, many overlook the hidden costs of buying a home, which can catch you off guard if
you’re not prepared.
As a local Frisco real estate agent, my job is to ensure you understand every aspect of the
home buying process, including the surprise expenses that come with it.

1. Home Inspection Fees
Before closing on a property, a professional home inspection is essential. This step can
uncover critical issues like foundation cracks, outdated wiring, or roof damage. In Frisco, TX,
expect to pay $500–$800 for a standard inspection.
Tip: Older homes near downtown Frisco and newer builds in developments like Phillips
Creek Ranch can have very different inspection needs.

2. Closing Costs
Closing costs in Frisco typically range from 2% to 5% of the home’s purchase price and can
include:
 Loan origination fees
 Title insurance
 Appraisal and attorney fees
 Recording and courier charges
Many first-time homebuyers in Frisco don’t account for this and are surprised at the closing
table.

3. Property Taxes in Frisco

Texas has some of the highest property taxes in the U.S. In Frisco (Collin & Denton Counties),
property tax rates can exceed 2.2%, depending on the school district and neighborhood.
Use the Frisco City Tax Estimator to budget properly.

4. HOA Fees
Many homes in Frisco real estate developments are part of HOAs (Homeowners Associations).
Fees range from $300 to $1,000+ annually, depending on amenities like pools, parks, and
gated security.
✅ Always request and review the HOA’s financials, rules, and upcoming assessments before
submitting an offer.

5. Homeowners Insurance
Most lenders require homeowners insurance at closing. In North Texas, you’ll likely also need:
 Windstorm coverage
 Hail insurance
 Optional flood insurance
Rates vary depending on property type, location, and age. Expect $1,200–$2,000 annually.

6. Repairs and Maintenance
Pre-owned homes in neighborhoods like Preston Vineyards or The Trails may need immediate
repairs. Set aside 1–3% of the home’s value annually for maintenance.
Example: A $500,000 home should have a $5,000–$15,000 annual maintenance buffer.

7. Utilities and Services
New homeowners often underestimate utility expenses in Frisco, especially in larger suburban
homes. Expect to pay for:
 Water and trash (Frisco City Services)
 Electricity (ONCOR grid)

 Internet and cable
 Natural gas

8. Moving Costs
Whether relocating from out-of-state or another Dallas suburb, moving costs can add up
quickly. Budget:
 $1,000–$5,000 for professional movers
 Extra for long-distance moves, storage, and insurance

9. Furnishing and Home Upgrades
New builds in Frisco often don’t include essentials like:
 Blinds or curtains
 Ceiling fans
 Refrigerators or washers/dryers
 Smart thermostats and doorbells
Don’t forget: furnishing a 2,500 sq ft home can cost anywhere from $10,000 to $30,000+.

Frequently Asked Questions (FAQ)
Q: What are the most common hidden costs of buying a home in Texas?
A: Property taxes, closing costs, HOA fees, and home inspection costs are the most frequently
overlooked expenses.
Q: How much should I budget for unexpected home expenses in Frisco?
A: Experts recommend 1–3% of the home’s value annually for repairs and maintenance.
Q: Do all homes in Frisco have HOA fees?
A: Not all, but a significant number of neighborhoods in Frisco are part of an HOA, especially
master-planned communities.
Final Thoughts

The Frisco housing market is full of opportunity, but smart buyers go beyond the listing price
to plan for every expense. From closing costs to property taxes and home maintenance,
understanding the true cost of homeownership in Frisco is key to a stress-free transaction.
✅ Ready to Buy Smart in Frisco, Plano, or McKinney?
Let’s connect! I specialize in helping first-time and experienced buyers navigate every
cost—visible and hidden.
→ https://misterfrisco.com/contact-frisco-tx-realtor/
https://misterfrisco.com/frisco-tx-new-search/
→https://misterfrisco.com/renting-vs-owning-pros-cons/

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