What To Save for When Buying a Home in Western Massachusetts

What To Save for When Buying a Home in Western Massachusetts

Buying a home is a big step, and knowing what to budget for upfront can help reduce stress. Whether you’re drawn to a walkable neighborhood in Easthampton, a quiet lot in Granby, or a classic colonial in Longmeadow, understanding local costs makes all the difference. Here's a breakdown of what to consider saving for when buying in Western Massachusetts:

1. Down Payment

The down payment is often the biggest upfront cost, but it may not be as high as you expect. While 20% is the common myth, many buyers in Massachusetts qualify for loans with as little as 3–5% down.

There are also local and state down payment assistance options, like:

• MassHousing Loans: www.masshousing.com

• One Mortgage Program: www.mhp.net/one-mortgage

• Springfield Down Payment Assistance Program: springfield-ma.gov

Loan programs vary, and your lender can help you find the best fit based on your goals and financial picture.

2. Closing Costs

Closing costs typically range from 2–5% of the loan amount, and cover things like the appraisal, title search, title insurance, lender fees, and legal representation. Massachusetts is an attorney state, meaning buyers generally pay for their own real estate attorney at closing.

Common fees may include:

• Appraisal: $400–$600

• Attorney: $1,000+

• Title services and insurance

• Prepaid taxes and homeowners insurance

For a general breakdown: www.bankrate.com/mortgages/closing-costs

3. Earnest Money Deposit (EMD)

An earnest money deposit is typically 1–2% of the purchase price and is paid shortly after your offer is accepted. It shows you're serious and gets credited toward your final down payment or closing costs.

While not required, it can strengthen your offer—especially in competitive markets like Northampton or Amherst.

More info: www.realtor.com/advice/buy/earnest-money/

4. Inspections and Other Upfront Costs

Inspections are essential in Western MA, where older homes and rural systems (like wells and septics) are common.

• General home inspection: $400–$700

• Radon testing: $100–$150

• Septic inspection (Title V): $400–$700

• Water quality test (for wells): $150–$250

While these aren’t included in closing costs, they’re important to budget for during your inspection period.

For more details on Title V: www.mass.gov/guides/homeowners-guide-to-title-5

The Bottom Line

Every local market is a little different—and Western Massachusetts has its own unique costs, quirks, and programs to consider. Knowing what to save for ahead of time puts you in a strong position to make confident decisions when the right home comes along.