What are the costs of buying a home?
Understanding all the costs of buying a home upfront is important, and it seems most first home buyers are clued in to ask this question early on when meeting with a broker.
Matt Reece from Loanseeker says “We show our customers and help educate them about all of the fees and costs that are involved in a purchase and how much at a minimum they would need to contribute.
“Costs of purchasing a property vary by state/territory and also by service provider, so it’s good to get a few quotes before agreeing to go with the first conveyancer or insurance provider you stumble across,” Renee explained.
Costs of buying a property may include:
- Stamp duty
- LMI
- Legal / conveyancing fees
- Mortgage or loan application fees
- Pest and building inspection reports or a Strata search (for apartments)
- Utility connections
- Insurance
Your broker can help you work out what costs will apply to you based on where you live, the type of property you’re buying and other factors, like the type of home loan you want and the size of your deposit.
While this can all seem quite daunting, Matt says it doesn’t have to be!
“While it may sound hard or if you’re worried that you don’t quite have the cash ready to go, there just may be a solution that your broker can work out with you to get you into your new home sooner, so it’s never too early to meet with a broker. Getting the information you need that suits your individual circumstances as early as possible is the way to go! Sometimes we work with people for months until they get themselves ready, and that’s all part of the process,” explained Matt.