Buying a home on Long Island is exciting — whether you’re hoping for a Nassau County colonial or a Suffolk County beach bungalow. But while most buyers focus on the down payment and monthly mortgage, there’s a whole set of hidden costs of buying a home on Long Island that can catch you off guard if you’re not prepared.

Here’s what every Long Island buyer should know before making an offer.

1. Closing Costs (They Add Up Fast)

Long Island has some of the highest closing costs in the country. While every situation is different, buyers typically spend 2–5% of the purchase price.

Common buyer-side closing costs include:

  • Attorney fees (standard in New York)
  • Title insurance
  • Lender fees
  • Mortgage recording tax
  • Appraisal fees
  • Inspection fees

For many buyers, this totals $10,000–$25,000+ depending on the home and loan type.

2. Property Taxes (One of LI’s Biggest Costs)

Long Island property taxes are known for being high, and they vary dramatically by school district.

A few things buyers should consider:

  • Nassau taxes are generally higher but come with more municipal services
  • Suffolk taxes tend to be slightly lower but still substantial
  • Homes just a few streets apart can have very different tax bills
  • STAR exemptions may help reduce taxes for eligible buyers

Always factor taxes into your long-term affordability.

3. Homeowner’s Insurance & Flood Insurance

Standard homeowner’s insurance is expected. What surprises many buyers is how many areas on Long Island fall within flood zones — not just waterfront communities.

Flood insurance can range from $500 to $3,000+ per year, depending on elevation and risk category.

4. Heating Oil Costs (Still Common on LI)

Many Long Island homes — especially older ones — still use heating oil instead of natural gas.

Here’s what buyers should know:

  • Oil heat is common in both Nassau and Suffolk
  • Suffolk and older neighborhoods tend to have more oil-based systems
  • Heating oil prices fluctuate, and winter costs can add up quickly
  • Annual heating expenses can run $1,500–$4,000+ depending on the home

If natural gas matters to you, confirm the home’s fuel type before submitting an offer.

5. Sewer vs. Septic (It Depends on the County)

Another surprise for many buyers is the difference in wastewater systems:

Nassau County:

Mostly sewers, especially in denser neighborhoods and incorporated villages.

Suffolk County:

Primarily septic systems or older-style cesspools.
Only certain downtowns and newer developments are on sewer lines.

Why it matters:

  • Septic systems require routine pumping and long-term maintenance
  • Replacement or upgrades can be a larger unexpected cost
  • Sewer districts sometimes charge annual usage fees

This is an important cost to understand based on where you’re Long Island home shopping.

6. Utilities & Everyday Expenses

Beyond heating, buyers should budget for:

  • Water bills (private vs. public suppliers vary)
  • Electricity
  • Natural gas (if the home is connected)
  • Garbage or village sanitation fees

These vary more than many buyers expect from town to town.

7. Commuting & Transportation Costs

If you’re commuting into NYC or across counties, factor in the costs of:

  • LIRR monthly passes
  • Station parking permits
  • Tolls
  • Fuel
  • Vehicle maintenance

These can easily add hundreds of dollars per month, depending on your schedule.

8. Village Fees, HOA Dues & Community Charges

Long Island has many incorporated villages and private communities that may include:

  • Village taxes or fees
  • Beach/pool access passes
  • Road maintenance fees
  • HOA dues (for condos, townhomes, and some subdivisions)

These fees can range from a few hundred dollars to over $1,500 per year.

9. First-Year Home Setup Costs

Even move-in-ready homes usually need a few updates, such as:

  • Painting
  • Window treatments
  • Lighting
  • Appliances
  • Landscaping
  • Fencing

Most new homeowners spend $3,000–$10,000 in their first year.

10. Ongoing Maintenance & Long-Term Upkeep

A realistic guideline is to budget 1–3% of your home’s price per year for maintenance, especially in markets like Long Island, where many homes are older.

This includes:

  • Roof upkeep
  • HVAC service
  • Driveway sealing
  • Pest control
  • Pool care
  • Septic pumping (in Suffolk)
  • Snow removal

Maintenance is one of the most underestimated costs of homeownership.

Final Thoughts on the Hidden Costs of Buying a Home on Long Island

Buying on Long Island comes with unique costs — from heating oil to septic systems to some of the highest property taxes in the country. But when you understand these expenses upfront, you can budget wisely, shop confidently, and avoid surprises down the road.

If you’re planning to buy in 2026, The Pesce-Lanzillotta Team is here to guide you through every detail, help you understand your true costs, and make sure the home you choose fits your life and your budget.

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