It’s not the home purchase that Americans regret, it’s the lack of investigation, planning, or study done on the costs that they didn’t realize would come with it.
How common is homebuyer regret?
At least 63% of homebuyers express some regret following the purchase of a home, says data from Realtor.com in 2025. But what’s the main cause of that regret? Most often it’s not the purchase of a home, but the associated costs the new home brings with it that sometimes feel hidden to the first-time buyer.
Home maintenance costs make up the largest percentage of dollars spent by new homeowners, but just below physical repairs come homeowners insurance and property taxes–costs that are less apparent to new home buyers and, let’s admit, are more difficult to understand.
Another aspect of homeownership that becomes clear with research is that homeowners who take the time to educate themselves on related costs, who aren’t rushed into a purchase, and who are more familiar with the timeline of events that follow a home purchase tend to report a greater level of satisfaction with their purchase, and are less likely to have feelings of regret around any part of the purchase.
Among first-time buyers, Americans with an annual income under $50,000 expressed regret 50% more often than their counterparts earning over $100,000 a year. The more regretful, generally younger group are also more likely to skip recommended steps such as thorough inspections or expert consultations, opening themselves up to problems later on. Taking this kind of shortcut is not recommended for homebuyers of any demographic.
How can bills surprise you?
First-time buyers aren’t the only ones expressing frustration at the added financial stresses involved in a home purchase. Even experienced homebuyers, sometimes making their second or third home purchase, can be surprised by parts of the process.
The cost of home insurance as a whole was considered a shock for 45% of the homebuyers surveyed (Insurify, 2025), many of whom had not considered the cost of homeowners insurance as a factor at all before making their decision.
Even among those who were aware of the insurance costs on the horizon following a home purchase, 47% reported additional surprise at the increases in insurance premium prices seen in the last year.
A side-effect of the lack of education around insurance costs is a notable percentage of underinsured homes across the country. A University of Colorado survey taken after the Marshall Fire in 2022 found that up to 74% of the affected homeowners were not carrying sufficient home insurance to cover their losses.
“Two thirds of American homeowners with home insurance were unaware of the details of what their policies cover.”
A Goosehead Insurance survey performed around the same time revealed that up to two thirds of American homeowners with home insurance are unaware of the details of what their policies cover. This number indicates a significant financial vulnerability on the part of hundreds of thousands of homeowners.
The typical cost of maintaining a single-family home can average between $21,000 and $24,000 a year (via data from Bankrate), and these costs can also surprise homeowners. The actual physical maintenance costs of keeping up a home generally make up the largest portion of those costs, with property taxes and insurance costs filling in smaller slices of the overall cost.
Looking back at the factors that can stun or surprise home buyers, it becomes clearer that while the end costs can be significant, these added challenges are threats that could be knowable and avoidable in advance.
How can you avoid these surprises?
How can these difficult situations be understood ahead of time and avoided? JD Power research shows a large leap in satisfaction ratings when insurance requirements were understood before home purchases.
Homebuyers who kept up transparent communication with their insurance provider and who made an effort to understand the reasons behind the insurance costs they owed reported a higher satisfaction rating than less informed groups, reinforcing the indication that knowledge and understanding of the reasons for home-related costs are highly valued by many Americans.
The same study also revealed that well-informed homebuyers who experienced higher premium costs but who were kept informed as to the reasons for those increases showed higher satisfaction ratings than those who had no price increase, but less provider transparency. A significant part of the survey group valued the improved level of engagement and transparency above price stability, which is typically the deciding factor for purchases of almost any kind.
The insight from this survey clarifies the role of well-informed insurance decisions as the most effective means of avoiding regret surrounding homebuying.
What costs are considered unavoidable?
While it should be expected that additional costs will follow a home purchase, the accelerated increases seen in home insurance premiums (up 12% in 2025 and up 46% from 2021 prices, Bankrate) and property taxes have recently been accused of ‘breaking’ the long-standing reliability of the 30-year mortgage as a constant in American homeowner budgets.
For years, even decades, the ability to lock in an interest rate and pay off a home on a long-term schedule has been seen as a sure bet for homeowners looking to secure their version of the American dream. The steep price hikes of these two unavoidable associated costs mean that simply securing a mortgage and a workable payment schedule may not be enough anymore. Without the capacity to budget for the less predictable insurance and tax costs, a new homeowner could be forced to take on additional debt to remain in good standing with their home lender.
Along with rising prices, the perception that the likelihood of a claim actually paying off is decreasing by the day results in a homeowner population with less enthusiasm for maintaining the maximum level, or even a sufficient level, of home insurance coverage.
How is this situation improving for U.S. homebuyers?
A cooling real estate market means less pressure on all buyers, first-time and otherwise. Homes for sale in 2025 sat on the market nearly two weeks longer than equivalent homes did two years prior in 2023 (Realtor.com data), and significantly longer than the hurried markets of the pandemic years before that.
Without the push to close deals almost immediately that was common in the early 2020s, homebuyers are now able to focus on the decisions in front of them, taking more time to consider their options, and ultimately avoid the regret that had been noted by many first-time buyers before them.
Another way that new homeowners or potential buyers can reduce their stress level (and potential regrets) is to always shop their options when pricing out home insurance. A ValuePenguin study showed that reviewing your options, or ‘shopping around’ before a purchase, resulted in savings for 76% of the homebuyers who did so.
The realistic side of this equation is that only 19% of the customer pool took the time to compare insurance prices in the past year, and only 44% of the polled group bothered to compare their options at the last policy renewal opportunity.
American homeowners have options for easing their home ownership-related responsibilities, and the majority of the circumstances that could leave them feeling regret are avoidable. How can these facts be put to the best use?
The sources shared here point to a willingness to educate yourself and to maintain clear lines of communication with the experts as the keys to satisfied living. Ask for that answer if you’re unclear. Compare the best prices that multiple agents can give you. Make the most of the working relationships you formed in the process of purchasing a new home, and you are likely to feel less stress and enjoy your new residence all the more for it.
Sources:
Ostrowski, Jeff. “Bankrate’s 2025 Home Affordability Report” Bankrate, May 14, 2025, https://www.bankrate.com/mortgages/home-affordability-report/
King, Dale. “The 16 Top Reasons Homebuyers Have Buyer’s Remorse” Realty News Report, Nov. 25, 2025, https://realtynewsreport.com/the-16-top-reasons-homebuyers-have-buyers-remorse/
Pierson, Neil. “Majority of recent homebuyers have regrets: survey” HousingWire, May 14, 2024,
https://www.housingwire.com/articles/majority-of-recent-homebuyers-have-regrets-survey/
Lathrop, Daniel. “How To Regret-Proof Your Home Purchase” Nerdwallet, Aug. 26, 2025,
https://www.nerdwallet.com/mortgages/studies/survey-home-buyer-regret
Gray is the Senior Content Specialist at Sola Insurance, working with the Sales and Marketing teams to provide helpful, valuable content for homeowners and agents. Gray has worked previously in finance, logistics, and advertising.
