COST 2: DOWN PAYMENTS

Rates on 30-year fixed mortgages are at a record low of 4.78 percent. At the same time, more lenders are demanding bigger down payments of 20 percent more.

The upside of making a bigger down payment is that you’ll owe less money and get better terms on your mortgage. If you down payment is less than 20 percent, however, your generally need to pay for mortgage insurance. This could cost $100 or more a month.

You can find out the down payment your lender will require as part of the pre-approval process. This is typically a free service where a lender evaluates your financial situation and tells you the terms and the loan they’re willing to give you. It’s a good idea to get pre-approved before you start looking at houses. Being able to tell the seller you can do the deal strengthens your bargaining position.

COST 3: ADDING UP FEES

New fees introduced by Fannie Mae and Freddie Mac in the past year likely will push the price of the mortgage higher for many people.

The fees are based on credit profiles, the amount of the loan in relation to property value and the type of home you’re buying. As such, they’ll vary greatly, depending on your personal situation, but could total as much as 3 percent of the mortgage.

In that case, you’d be paying another $3,000 for a $100,000 loan.

The closing costs are service fees charged by the lender, and could cover items such as credit reports, appraisals, documentation and administrative costs.

The total will vary, depending on where you live and your particular situation. According to Banktree.com, the national average last year was $3,118 for a $200,000 mortgage.

Lenders are required to itemize all closing fees, so review them carefully. Some of the more standard fees might be negotiable.

COST 4: INSPECTIONS

Your inspection costs will depend on the checks you want and whether your inspector offers comprehensive packages.

The sellers might pay for inspections in some cases, but it’s more common for the buyer to foot the bill.

Other inspections might be for lead paint, pests or radon gas. Some of these checks might be required by the lender and included in the closing costs.

COST 5: MAINTENANCE

A common mistake for many new home buyers is focusing on the monthly mortgage alone. It’s easy to forget all the maintenance costs that come with owning a home.

To start, your utility costs likely will go up significantly. As a renter, you might not even pay for water, heat or electricity. But they could be a big drain if your home is large or you have a pool or other features that drives up utility bills.

There are bigger maintenance matters to consider as well, such as repainting the house periodically. You’ll also be on the hook for any repairs for your home. You don’t know what’s going to happen, as the house gets older, it’s likely the maintenance fees will grow.