Down payment and closing are two of the most common expenses that are associated with buying a home. However, there are a few upfront expenses that can surprise a first time home buyer. Well, I want you to be as prepared as possible, so without further ado, here are five expenses you should be aware of and be prepared to pay during the early stage of your home buying process.

Home Inspection Fee
Inspectors will look for signs of structural issues, mold, and leaks; assess the condition of the roof, gutters, water heater, heating and cooling system; etc. This cost will vary between $300 and $600. The higher end of the cost will be if you hire a structural engineer.

Appraisal Fee
The appraisal report is for the lender to confirm the property is worth the selling price, and may cost between $300-$500. You do not get to choose the appraiser, the lender does.

Option Fee
The option fee gives you the right to terminate the executed contract for any reason, without losing your earnest money. This fee may run you between $100-$300

Earnest Money
Earnest money is usually the first amount you have to give to the title company once your offer to purchase a specific home has been accepted and signed by both you and the seller. The amount is usually about 1% of the loan amount. Example, if you are buying a home for $200,000 the earnest money would be $2,000. If you are buying a brand new home, each builder set their own earnest money requirement between $500 - $5,000 and up.This amount is usually subtracted from your closing cost.

Termite Inspection Fee
Although the cost of the termite inspection will vary between $100 - $150, now every home buyer will choose get this service. However, if you are a VA home buyer, it is a requirement. Happy home shopping. We hope you find this information useful.