There are times when you might receive additional bills for thousands of dollars just before the closing date, even after barely managing to meet the down payment. Closing costs are typically known to be around 2 to 5% of the sale price (according to Bankrate), and in areas like Burlington, where home prices are high, this percentage translates into a significant amount. The burden can vary slightly depending on whether you are in downtown Burlington or nearby South Burlington, even within the same state of Vermont.

As of June 30, Zillow reports that the average home value in Burlington is $519,611, and the median listing price as of August is around $524,000. While the average time for a property to go pending is relatively short at 15 days (Zillow), the actual median time a listing stays on the market is recorded at 45 days (as of August 2026). The situation can differ depending on the neighborhood, so both figures should be considered together.

From the very first step of budgeting, it's advisable to base your total on not just the mortgage principal and interest, but also property taxes, insurance, and maintenance costs if necessary. Given the characteristics of areas with many older homes, maintenance costs can be higher than expected, so it's safer to calculate monthly expenses generously.

In this price range, the first step is to not underestimate closing costs. If the sale price is $520,000, closing costs alone can range from $10,000 to $26,000, so if you don't leave enough funds for this after the down payment, you may find yourself short on cash at the final stages of the contract. The second consideration is Vermont's average property tax rate, which is around 1.51% according to the Tax Foundation, significantly higher than the national average of 0.91%. If you are moving from a state with a lower tax rate, your total housing costs may be higher than expected.

The third point is exhausting your reserves on the down payment. In areas with property tax burdens, it's closer to a stable home purchase to leave a few months' worth of extra funds after moving in. The fourth is not skipping the inspection. Given that Vermont has a high proportion of older homes, checking the insulation and roof condition in advance can help reduce future maintenance costs.

The fifth point is looking at properties without pre-approval. With an average of 15 days to go pending, without a pre-approval letter, you might miss the opportunity to make an offer on a home you like. Comparing rates from several lenders in advance can be much more advantageous when making an offer.

The sixth point is budgeting based solely on the mortgage principal and interest. In a high tax area, you need to calculate the total housing costs including property taxes and insurance in advance, and also ensure that large expenses right before the contract do not affect your credit status. Instead of using just one lender, comparing rates from several can help reduce interest burdens.

When Korean families look at school districts, it's good to refer to metrics like GreatSchools, but be sure to check the assigned school for the specific address before purchasing. If you are moving from another state, it's advisable not to apply the previous state's property tax standards directly, but to recalculate based on Vermont's standards.

Even within the same commuting zone, home prices and tax burdens can feel different between downtown Burlington and South Burlington. Rather than choosing a neighborhood based on emotions, it's better to consider commuting distance, future resale potential, and if you have children, the school district as well for a more stable home purchase.

If you are newly immigrated from Korea and settling in Burlington for the first time, your short credit history may prolong the loan approval process, so it's wise to schedule your timeline generously and prepare the necessary documents in advance.

This article is not investment or legal advice, and it's recommended to consult with real estate and loan professionals, and legal experts if necessary, before finalizing any contracts.