If you’re a first-time homebuyer, your initial months in the new property will come with a significant adjustment period.

This will be especially true of your finances. While renting lacks the benefits of building equity—and, often, provides less freedom to style your spaces—its payments can be much simpler to understand and budget for. Here’s what to expect from your monthly costs as a homeowner, including well-known expenses and others that could sneak up on you if you don’t prepare for them.

Mortgage

If you financed your home through a lender, you will be responsible for making a monthly payment toward the loan’s principal as well as any interest. While some lenders allow you to enroll in autopay so your bill is deducted from your bank account automatically, it may be worthwhile in the first year or so of homeownership to make your payments manually so you understand how much you’re paying and how this affects your budget.

Property taxes

These costs go toward a variety of things, including schools, local fire services, roads, and parks, and it will vary drastically based on where you live and what your property is worth. A good guideline is to expect to pay 1–2 percent of your home’s value. Thankfully, the current tax rate is typically included in a property’s listing so you are made aware of it in advance. Although this number will likely increase each year, you may have the power to protest it if you think it’s unfairly inflated or becoming more difficult to afford.

Homeowner’s insurance

This protection against major damage, disasters, accidents on your property, and more typically costs between $1,500 and $3,000 per year; however, yours may vary based on what’s included in your policy as well as your property’s condition and value.

Note: Your lender may enroll you in an escrow account for your property taxes and insurance, segmenting these costs into monthly expenses and adding them to your mortgage bills.

Private mortgage insurance

This program helps protect your lender in case you’re unable to make payments toward your mortgage. It is generally a requirement if you make a down payment below 20 percent. The insurance will cost approximately 0.5–1.5 percent of the loan amount, but the requirement will usually end once you build at least 20 percent equity in the home.

HOA fees

Increasingly commonplace these days, even outside of condominium communities, homeowner’s association costs are typically levied monthly, and their rates vary drastically. Thankfully, you should also see this amount on the property’s listing and be notified if it ever changes.

Maintenance costs

These expenses are now on you once you own a home rather than renting, so everything from ongoing maintenance (e.g., replacing HVAC filters) to making major repairs (e.g., rebuilding after severe water damage) will be your responsibility. Even if your homeowner’s insurance pays for some costs, you may need to pay a deductible or make other payments out of pocket. It’s recommended that you set aside up to 4 percent of your home’s total value for these expenses. Because some maintenance costs are ongoing and others can be unexpected, consider saving a little money each month so you’re prepared for a sudden change.

Utility costs

If you’re used to renting, then you’re likely used to making these payments, but certain ones, like electricity, may increase if you’re moving into a larger property. If your home has an HOA, consider reaching out to confirm which of these costs they may cover, like trash services or water.

While making the move from renting to owning can be more costly, it’s ultimately worthwhile—and building equity may mean growing your wealth over time. For more information on what to expect from homeownership, seek the advice of a real estate agent.