How much to set aside for repairs and maintenance
Every home, even new ones, needs ongoing maintenance. Setting money aside each month prevents stress when something breaks and helps you protect your investment over time.
Typical yearly maintenance costs
Most homeowners spend between 1% and 3% of the home’s value each year on upkeep and repairs. A $400,000 home could mean $4,000 to $12,000 per year depending on age, size, and local weather.
- Newer homes: Closer to 1% — systems and roof are newer.
- 10–20 years old: Around 2% — more wear on HVAC, plumbing, and exterior.
- Older or historic homes: 3% or more — higher upkeep and specialized work.
Ways to budget for repairs
- Monthly maintenance fund: Set up an automatic transfer to a savings account dedicated to home expenses.
- 1% rule: Save roughly 1% of your home’s value per year and roll over what you don’t use.
- System-by-system plan: Note the age and expected lifespan of your major items like roof, HVAC, and appliances to forecast replacements.
Common repair ranges
- Roof replacement: $8,000–$15,000
- HVAC system: $5,000–$10,000
- Water heater: $1,200–$2,000
- Exterior paint or siding repair: $3,000–$8,000
- Plumbing or electrical issues: $200–$1,000+