You’ve saved for your down payment, but when it’s time to buy, there’s a good chance other expenses will show up along the way. In Denver’s competitive market, buyers who understand the real costs of homeownership are better prepared — and less likely to face last-minute stress at the closing table. Check out the quick video below and keep reading for a full breakdown of what to expect beyond your down payment.
Inspection Fees
Most buyers schedule multiple inspections — a general home inspection, sewer scope, and radon test are the most common in Colorado. Combined, these typically cost $600–$1,000, depending on the home’s size and location.
Pro tip: If repairs are needed, you can often negotiate credits from the seller based on inspection results.
Appraisal Fee
Your lender will order an appraisal to confirm the home’s value. This usually costs $600–$750 in the Denver metro area and is paid upfront. It’s a required part of getting your mortgage approved.
Title Insurance & Closing Costs
At closing, expect to pay 2%–5% of the purchase price in fees related to your loan and title transfer. These include:
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Title insurance
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Loan origination and underwriting fees
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Recording fees
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Prepaid taxes and insurance
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Escrow setup
Some costs can be negotiated with the seller, especially in slower markets.
Property Taxes
Colorado’s property taxes are generally lower than the national average, but they vary by county and neighborhood. For example, newer suburban areas or homes within special districts may include higher metro district or improvement fees. Always review the property tax estimate on the listing and confirm it with your lender.
Homeowner’s Insurance
Insurance rates in Colorado are rising due to wildfire and hail risks. Expect to pay $1,500–$2,500 per year on average in the Denver metro area, depending on the property type and coverage level.
HOA Fees
If you’re buying a condo, townhome, or single-family home in a managed community, factor in HOA dues. These can range from $50 to over $500 per month depending on amenities, maintenance, and neighborhood age.
Moving & Setup Costs
Don’t forget the smaller, often overlooked costs of moving — new locks, furniture, cleaning, paint, or landscaping. Even minor updates can add up quickly once you move in.
Utilities and Ongoing Maintenance
Denver’s variable weather can mean fluctuating utility bills — especially during cold winters and hot summers. Maintenance, lawn care, and snow removal are also expenses to plan for as a new homeowner.
Emergency Fund for Repairs
It’s wise to keep at least 1% of your home’s value set aside annually for unexpected repairs — things like a furnace replacement, water heater, or roof repair.
Why It Pays to Budget Early
When you account for these expenses upfront, you avoid surprises, make smarter offers, and maintain financial comfort after closing. A good agent and lender will outline your total estimated costs before you submit an offer so you know exactly what to expect.
Conclusion:
Buying a home in Denver is one of the best investments you can make — but being aware of the hidden costs ensures you stay financially prepared every step of the way.
More questions? The Denver Group has answers! Visit our FAQ Section HERE.
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