Home Maintenance Costs: A Breakdown

How much does home maintenance really cost?

The National Association of Home Builders found in its 2019 American Housing Survey that homeowners spent almost $1,000 a year on routine maintenance. Since then, costs have climbed due to inflation and supply chain disruptions. It’s typical for homeowners to budget between 1% and 4% of their home’s value for maintenance each year.

“We work on all types of homes, but older homes almost always carry higher maintenance costs because the mechanical systems are older, often outdated and need TLC,” said John Gabrielli, owner of Air Temp Solutions, an HVAC company in Newark, Delaware. “There’s a big cost difference once systems hit 10 to 15 years old.”

Size matters as much as age when planning your budget. “Larger homes tend to require higher-capacity equipment, more ductwork and more plumbing fixtures, which increases the costs,” Gabrielli explained. “It’s easier for machines to be overworked, so they’re more likely to fail.”

In addition to size of your home, the property type matters too. A condo or townhouse will have less (or no) outdoor space to maintain, compared to a single-family home with a large yard. If you pay HOA dues, those may cover costs for common-area maintenance or landscaping. While you may not pay for yard care in these cases, you will need to factor in your HOA costs. Review your HOA contract and documents to understand what is and isn't covered by these monthly or annual fees and what you'll still need to plan to do and pay for yourself.

How to estimate your annual maintenance budget

These three methods can help you estimate your annual maintenance budget:

• 1% rule: Multiply your home’s value by 0.01. For example, if you have a $250,000 home, you should set aside around $2,500 for home upkeep and repairs.

• Square foot rule: Be ready to spend $1 per square foot of your home each year on home maintenance. For a 2,000-square-foot home, that comes out to $2,000.

• 10% rule: Set aside 10% of your monthly housing costs (mortgage, taxes and insurance combined).

Most expensive home maintenance costs

“The most expensive tasks are full HVAC system replacements, major plumbing repairs like repiping or sewer line issues and water heater replacements, especially when homeowners switch to tankless systems,” Gabrielli pointed out.

Prepare for the following big-ticket home maintenance costs:

• Roof replacement: $5,800 to $13,000

• HVAC system replacement: $10,000 to $14,000

• Foundation repair: $4,000 to $30,000

• Sewer line replacement: $5,000 to $30,000

• Major electrical upgrades: $1,200 to $10,000

• Mold remediation: $1,800 to $8,000

• Septic system repair: $630 to $3,000

• Water damage restoration: $1,300 to $6,300

These smaller repairs cost less but happen more often:

• Garage door opener: $200 to $540

• Garage door spring: $160 to $350

• Toilet replacement: $350 to $1,400

• Leaky faucet: $150 to $350

• Clogged drain: $230

You should also plan for these important recurring monthly, quarterly or annual maintenance tasks:

• Landscaping: Landscaping costs vary on how large your yard is, how often your grass needs cut and any other landscaping features you have, such as mulch, pine needles or flower beds and how often you need to refresh those.

• Gutter cleaning: You should get your gutters cleaned at least twice a year, in the spring and fall, to clean out seasonal debris like pollen or leaves. If you have heavy tree coverage at your home, you may need to do so more often.

• Pest control: It's recommended to have a pest control service come to your home at least quarterly (four times a year, or every three months). You may want to consider doing so more often if you have stubborn bests or live in a heavily wooded area or near water.

• HVAC tune-ups: If you have a newer HVAC, an annual tune-up is plenty, but if your system is older, you may want it looked at in the spring and fall to make sure it's working in top condition before summer and winter peak temperatures. These checks usually cost between $70 and $200 each time. Remember to also change your air filters inside the house. Depending on the type you have, it's recommended to change them anywhere from monthly to quarterly.

Factors impacting home maintenance costs

“Climate plays a massive role in HVAC and plumbing maintenance,” Gabrielli noted. “In the Mid-Atlantic region, we see humidity swings, freezing winters and hot summers. These giant swings strain equipment because it’s one end of the spectrum to the other.”

Different weather patterns create specific problems. For example:

• High humidity: Mold growth, clogged condensation lines, heavier AC loads

• Freezing winters: Pipes burst from ice, furnace parts work overtime

• Coastal areas: Salt in the air corrodes metal faster

• Hot, dry climates: AC systems strain, soil shifts stress foundations

These factors depend on local weather patterns and climates, so your location can make a big difference on your maintenance needs and budget. If you're moving from one ZIP code to another, or making a long-distance move to a new state, you'll also want to research how the local labor costs will impact your maintenance costs.

For example, in an urban area or a high-cost-of-living region, you may pay $50 to $125 per hour for skilled trades. But if you live somewhere rural, you may see hourly rates between $40 and $80. Use sites like Zillow and Thumbtack to find local averages to better estimate your average annual maintenance cost at your new home. These benchmarks can help you determine if a quote seems reasonable for your area or not.

What’s included in home maintenance?

Home maintenance breaks down into three main categories:

1. Exterior (roof inspections, gutter cleaning and landscaping)
2. Interior (plumbing, electrical work and HVAC equipment)
3. General (everything from appliance maintenance to safety device testing)

When to handle common maintenance tasks

• Monthly: Test smoke detectors, change HVAC filters, check under sinks for leaks
• Biannually: Clear gutters, clean refrigerator coils, inspect basement and attic
• Annually: Flush water heater, inspect exterior plumbing, check for termites

“Get seasonal HVAC tune-ups twice a year — once before cooling season and once before heating season,” Gabrielli advised. According to Carrino, professional maintenance checks usually cost $70 to $200 and include checking electrical connections, cleaning coils and verifying refrigerant levels.

Should I hire a professional?

Not all maintenance tasks require professional help. You can handle simple jobs like changing air filters every 30 to 90 days, doing exterior painting, or caulking and painting baseboards. But it’s best to consult a licensed professional for anything involving electrical work, complex plumbing or HVAC repairs.

“HVAC and plumbing systems carry real safety risks,” warned Gabrielli. “A professional will prevent small issues from turning into major issues.” Carrino agreed, adding that calling an expert costs far less than fixing mistakes from a botched DIY repair.

Budgeting for home maintenance

After figuring out your annual maintenance budget using the 1% rule, square-foot rule or 10% rule, the next step is to put that plan into action. Open a separate savings account for home maintenance so you don't spend the money on everyday expenses. Treat this account like a bill you pay yourself every month.

Split your budget into two categories:

1. Routine maintenance

2. Emergency repairs

Routine costs cover predictable annual expenses, such as HVAC servicing (around $200), gutter cleaning (around $200 to $530) and landscaping (around $1,200 to $3,600). Meanwhile, your emergency fund handles unexpected problems like burst pipes, failed water heaters or storm damage.

Financial experts recommend keeping at least three months of maintenance costs in your emergency fund. This helps you avoid debt when major systems fail without warning.

Make sure to prioritize repairs, especially if you're on a limited budget. Emergency repairs like safety hazards and active damage should always come first. These issues like leaks, electrical faults or HVAC failures, need to be taken care of as quickly as possible to prevent further damage, safety issues and additional costs. Next, prioritize preventative maintenance to try to avoid or put off major repairs as long as you can. Cosmetic upgrades or renovations should come last.

Build a personalized maintenance budget for major expenses

If your major systems and roof are aging, it's likely for them to fail in the coming years and need replaced. Here's how long you can typically expect them to last.

• Roof (lasts 15 to 50 years)

• HVAC system (lasts 15 to 20 years)

• Water heater (lasts eight to 12 years)

By keeping track of how old these items around your home are, you can better prepare for when you'll need to repair or replace them. Build your personalized budget and plan by taking stock of the current condition of your home and your current expenses for maintenance. Use this to determine your monthly savings target for future home expenses.

You can even set up an automatic monthly transfer into your emergency fund savings account so the money is automatically set aside without you having to worry about it.

Other payment options for large home expenses

Keeping an emergency fund for home expenses is ideal, but these are pricey repairs and it might not always be realistic or feasible to empty your savings to pay for them.

In that case, it may be beneficial to consider financing like a home equity loan, HELOC, personal loan or putting some costs on your credit card to pay for these major repairs. Before you jump into any of those options, determine the total costs of each, including interest or closing costs that are associated with loans and payment plans. Depending on your situation, one of these may be the best choice to easily pay for a large, unexpected home expense.

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