Buying a House in Portland? Here’s What It Actually Costs
So you’ve got your eye on a home in Portland—maybe it’s a sweet bungalow in Sellwood or a light-filled craftsman near Mt. Tabor. Wherever you’re looking, there’s one part of the process that catches almost everyone off guard: the true cost of buying a home.
Spoiler: It’s more than just your down payment.
We love making sure our clients are informed and prepared—so here’s a breakdown of the costs you can expect (and a few you might not have considered).
Costs to Plan for Before You Own the Home
These are the key expenses you’ll encounter during the buying process—like inspections, closing costs, and earnest money—so you can feel prepared every step of the way.
Earnest Money Deposit
When you make an offer, you’ll submit earnest money—a show of good faith that proves you’re serious. This usually falls between 1–3% of the purchase price and gets credited back to you at closing.
Inspections
Inspections are essential—we want you to know what you’re buying. Most buyers get a general home inspection, which runs $400–$600. Additional inspections might include:
Sewer line: ~$150
Radon test: ~$165
Oil tank locator: ~$100 (if applicable)
Septic system: $500–$2,500 (for rural or older homes)
We’ll talk through which ones make sense based on the property.
Appraisal
If you’re financing your purchase, your lender will order an appraisal to confirm the home’s value. This typically happens after inspections and costs $750–$900, paid by the buyer.
Closing Costs
This is the biggie most buyers underestimate. Closing costs typically run 2–5% of the purchase price, and they cover things like loan origination fees, title insurance, recording fees, and more. You’ll see this on your final settlement statement, but it’s smart to budget for it early.
Moving Costs
Moving expenses aren’t technically part of the sale, but they add up fast—especially if you’re relocating to Portland from out of state. Local moves can run a few hundred dollars, while larger moves might hit a few thousand.
What You’ll Keep Paying After the Keys Are Yours
Homeownership comes with ongoing costs like insurance, taxes, and maintenance. Knowing what to expect helps you stay on top of your budget long after move-in day.
Private Mortgage Insurance (PMI)
If your down payment is less than 20% and you’re using a conventional loan, you’ll likely pay PMI—an extra monthly fee to protect the lender. It’s based on your loan size and credit score, but we’ll factor it into your payment estimates from the start.
Homeowner’s Insurance
Lenders require you to have this in place before closing. It protects your home, belongings, and liability, and pricing depends on the home's value and coverage, but expect to budget a few hundred to over a thousand annually.
Property Taxes
Taxes are prorated at closing depending on your purchase date, but you’ll want to know the annual tax rate of the home. Portland properties vary widely by neighborhood, so we’ll help you estimate this during your home search.
HOA Fees
Buying in a condo or a planned community? HOA fees can range from modest to substantial, depending on services included (like exterior maintenance, landscaping, or pools). We’ll always help you get clarity on these before you write an offer.
It’s Not About Scaring You—It’s About Preparing You
Buying a home is exciting—but it’s also one of the biggest financial decisions you’ll ever make. We want you to walk into it with open eyes and a solid plan. That way, when the right home shows up, you can act quickly and confidently.
Let’s Make a Game Plan Together
Whether you’re just getting started or ready to dive in, we’ll walk you through the costs, connect you with trusted lenders, and help you prepare every step of the way. Call or text us at 503-951-8547 to start the conversation—we’re ready when you are.
