San Fernando is a neighborhood with relatively older homes compared to other areas in the Valley. Because of this characteristic, calculating maintenance costs becomes more important than property taxes in this region.

As part of LA County, San Fernando follows the Prop 13 system, which adds a local bond assessment to the basic tax rate of 1 percent, resulting in an effective tax rate of about 1.1 to 1.2 percent at the time of purchase. While the county-wide average effective tax rate is about 0.82 percent, new buyers should understand that they will bear a higher rate based on the purchase price.

The median home price in San Fernando is around $650,000. Applying a rate of 1.15 percent, the annual property tax would be approximately $7,475, but in reality, it often falls within the range of $7,000 to $7,800.

Insurance premiums need to consider two risks. One is the wildfire risk in the hilly areas near the Valley, and the other is the earthquake risk that has been mentioned since the 1971 Sylmar earthquake. Standard fire insurance typically costs between $1,700 and $2,000 annually, and if earthquake insurance is purchased separately, it can add over $1,000 a year, which should be factored into the budget.

For maintenance costs, it is realistic to estimate around 1.5 percent based on the age of the home. For a $650,000 home, this would be about $9,750 annually, and if the property was built in the 1950s or 60s, it's important to consider that the roof or plumbing may need replacement soon.

When combining these three items, the total annual ownership cost is estimated to be between $18,500 and $21,500. Since most homes are single-family residences, HOA fees are generally not a major concern.

Compared to nearby Sylmar and Pacoima, the tax rates themselves are not significantly different, but the actual property tax amounts vary with the difference in home prices. When comparing properties, it is more accurate to judge based on the actual tax bill amount rather than the tax rate.

For Korean households, applying for the Homeowners Exemption is essential, and if planning to purchase an older home, it is safer to adjust the maintenance budget based on the results of plumbing or electrical system inspections.