What costs should I be aware of when buying property?

Securing your first home loan can be an exciting time, but it can be all too easy for the costs associated with buying property to spiral out of control.

This is why it's so important to put together a comprehensive budget that enables you to keep track of everything you've spent and will need to spend in the future.

Here are some of the often overlooked expenses you'll need to take into account when buying property and ensure you have sufficient funds to cover.

Stamp duty

Each state and territory has its own stamp duty concessions, so it's worthwhile finding out what support is available in your area.

This is essentially a tax you will pay to the government for most property purchases and it's largely dependent on the value of the home you are buying. 


Another cost you might not have given much thought to is conveyancing. You'll have to pay a legal representative a fee to carry out the purchase on your behalf. 

Your conveyancer will be responsible for performing land title searches and ensuring the contract of sale is legally sound.

Lenders' mortgage insurance

Some home loans will be subject to lenders' mortgage insurance, which offers them protection if you should suddenly find yourself unable to make repayments.

This should be presented in the documents you receive before you sign for your loan, so make sure you fully understand what it's for before sealing the deal.

Moving costs

Once your housing finance has been finalised, you'll need to turn your attention to moving into your property.

Think about all the hidden extras such as boxes to pack up your stuff, storage space if you need it and of course the hire of a removal van. It all mounts up!