50% of Homeowners Advise First-Time Buyers to Budget for Maintenance, Repairs, Emergencies

In 2025, 92% of homeowners paid out of pocket for unexpected repairs, according to a survey by Hippo Home Insurance. The most common unexpected repairs were: 

1. Plumbing issues (34%) 
2. Appliance breakdown (32%) 
3. Critical system issue (23%0 
4. Window or door issues (20%) 

Overall, 36% of homeowners reported spending $3,000 or more on unplanned repairs, and 27% said they spent $1,000 or less. Thirty-four percent went over their planned home maintenance budget. 

Because home repairs are often unplanned, 50% of homeowners surveyed said they would advise first-time buyers to budget for regular home maintenance, unplanned repairs and home emergencies. 

Unsure how much to set aside? 

“As a rule of thumb, consider saving at least 1% of your home’s value each year for maintenance and repairs,” Hippo recommends, noting that this benchmark is a helpful starting point.  

Other factors to consider when planning how much to save include: 

• Home age. Newer homes are less likely to have problems common to older homes, like rusty pipes or leaky roofs. 
• Repair prioritization. New homeowners should prioritize badly damaged or vital features first (like HVAC, electricity, plumbing, foundation, roof, etc.) and budget accordingly.  
• Consider later repairs. If a home inspection reveals that certain repairs will be needed later (for example, the roof will need to be replaced in two years), start saving now. Ask around for estimates to use as a rough savings goal.