When buying a home, there are some costs you expect and some you don’t. To help you avoid any surprises we’ve put together a list of things you might need to think about when working out your budget.
Not all of the following costs apply to all situations—so think about which ones might to yours.
There are two types of stamp duty you need to be aware of:
Stamp duty is charged by state and territory governments so the amount you will pay depends on where your chosen property is located. It will also vary according to the purchase price of the property.
In some states/territories, stamp duty concessions may be available to certain purchasers, for example, if you are building a new home. Even with concessions in place, stamp duty can significantly add to the cost of a property so be sure to factor it into your budget.
You can calculate how much duty you may need to pay by using our handy Stamp Duty Calculator.
For more information take a look at the website of the revenue office in your state or territory:
Pest inspections can be relatively cheap, particularly when compared to the cost of dealing with the problem after the property is purchased.
A combined pest and building inspection can cost upwards of around $400 depending on the size of the property. However, this expense is dwarfed by the potential cost of dealing with a major building issue.
Talk to your legal rep about these inspections—they’ll often organise them on your behalf.
Aussie Fact Sheet: Pest and Building Inspections
If you’re selling your current home and buying another you’ll probably sell through an agent and there will be an agent’s commission to pay.
First home buyers don’t have to worry about paying commissions, as the commission is charged to the vendor of the property, usually as a percentage of the sale price.
There are a handful of legal costs involved in a property transfer:
There may be a range of fees imposed by your lender such as application, valuation and settlement fees.
Make sure you ask your lender or broker about these fees.
There are a few types of insurance you might be up for:
Continue to information about the first home owners grant.
Aussie does not provide any financial or investment advice. This document has been prepared as a factual guide only. It does not take account of your objectives, financial situation or needs. Aussie recommends that you seek independent financial advice and obtain your own professional legal and taxation advice before making an investment decision.