Just coming up with a deposit for your mortgage can often be such a big task you can forget about the other initial costs of purchasing a home. Costs such as stamp duty, insurance and moving fees are all costs which you will need to pay at the start of moving into your new home. There can be a large number of initial expenses depending on the situation and property, so we’ve outlined some of them here for your reference.

Stamp Duty

Other than the initial deposit for your home loan, this will be the most expensive initial cost with stamp duty costs going up to 4% of the property’s value depending on the state, and can vary considerably with complex rules. Our brokers can help you understand these regulations and work out what you would have to pay in stamp duty for your property.

Mortgage Registration Fee

 This is another fee that varies considerably depending on your state and location. Usually ranges from $107 in NSW to $189 in the Northern territory

Mortgage application Fees

These are fees that your lender will charge you during the application and creation of your home loan. These depend on the lender, but you can usually negotiate with the help of a broker for them to provide deals on these or packages. 

Lender’s Mortgage Insurance

Depending on the size of your deposit you may have to pay for lender’s mortgage insurance. A lender will usually require you to take out LMI if your deposit on your home loan is less than 20% of the value of the loan.

Moving Costs

The cost of moving home will vary person to person depending on the size of the move (distance, quantity of things) and how you choose to move (moving company, truck rental). However, it is still a significant cost to keep in mind that you will need to pay upfront.

Our brokers can help you determine the extent of all the upfront costs of purchasing a home and how best to manage them.

If you would like to learn more about the initial costs of buying a house, please get in touch with us today.