Is water and sewer service typically included in a buyer's monthly loan payment?

Water and sewer service is typically not included in a buyer's monthly loan payment. When obtaining a mortgage, the monthly payment usually consists of principal, interest, property taxes, and possibly homeowners insurance. Utility payments, such as water and sewer, are considered separate expenses that homeowners are responsible for paying directly to utility companies, often monthly or bimonthly, depending on local billing practices.

While some mortgages may be structured to include homeowners association (HOA) fees, which can encompass certain utilities in some communities, this is not the case for the majority of loan types. Therefore, the appropriate understanding is that the base mortgage payment does not cover utilities like water and sewer. This emphasizes the importance for buyers to budget for these additional costs when determining their overall financial obligations related to homeownership.