When searching for a new home, house hunters often focus on expenses like mortgage rates, taxes, and insurance. However, one often-overlooked part of pricing out a new home is utility costs.
One prospective buyer turned to the internet for advice on whether it would be inappropriate to ask the seller about their monthly energy bills.
Here's what to know
The conversation played out on Reddit's r/RealEstate forum, where the prospective buyer asked whether it was normal for their agent to go through the seller's agent to find out the home's average utility bills.
While commenters generally agreed it wouldn't be unusual for a prospective buyer to request that information, some recommended a useful shortcut that might not require involving the seller at all.
"I'm able to call the utility directly and they just tell me," said one Redditor.
Another agreed, adding, "You can do it yourself. Call up the utility company and they can provide a 12 month average for the potential home."
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The idea that the utility company might provide the numbers directly seemed to surprise the OP, who replied: "Ok sounds good. I had no idea you could call up and ask!"
Other commenters said the question of utility costs comes up often, particularly in markets where cooling or heating expenses surge during certain months.
One person called sharing utility expenses "pretty normal in Arizona where electric in the summer can be very high."
More background
Considering a prospective home's utility history can be especially important in places with extreme weather, older housing stock, or wide price differences among local energy providers.
A Southern California commenter pointed out that the utility provider alone can make a major difference, noting that homes served by municipal companies may have much lower power costs than those relying on private utilities such as SCE and PG&E.
Posters also cautioned that historical averages have limits. Final costs depend on factors such as household size, thermostat settings, and how residents use the property.
Additionally, with energy costs skyrocketing in recent years, the old adage that "past performance does not guarantee future results" holds especially true.
What should the homebuyer do next?
As the commenters suggested, a practical next step for a prospective homebuyer is to contact the local utility company to see whether they can share a 12-month pricing average or other information.
Knowing a property's average utility expenses can help prospective buyers compare home prices more accurately, giving a more complete picture than relying on a mortgage calculator alone.
Utility costs can also give potential buyers a sense of future expenses by indicating whether the home needs energy-saving upgrades such as better insulation or more-efficient appliances.
Commenters said sellers can also take steps to streamline the process.
One recent home seller described setting out a binder during a home sale that included "my last years worth of power, garbage, water bills" along with other information about the house.
Where can I learn more?
These articles cover average electricity costs, power-bill concerns, green plans, and unexpected utility charges.
• A new national Electricity Price Hub reveals average bills for major utilities since 2020.
• More than half of Americans are concerned about paying power bills in 2025.
• In South Carolina, a solar homeowner showed exports in the app but still got a $150 bill.
• Some households can tap green power plans with solar and wind for nearly free electricity.
• In southeast Michigan, residents should expect higher utility bills after an approved rate increase.
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