What costs are involved in purchasing a property-QLD?

Hi Tiffany,

There are a lot of variables to consider with your question.

The actual cost will be determined by how much the house costs to buy; how much you use for a deposit to the bank on settlement; and in which state the property is located. There are also a few 'extras' you need to consider, such as building and pest inspections, and which conveyancer you engage to do the legal stuff.

I am not familiar with most other states, but I can shed a bit of light with regard to buying property in QLD. At a minimum you will likely be up for:

Transfer duty (stamp duty), and a transfer fee – The amount increases or decreases with the price of the property. It is also charged at a different rate depending on whether you are buying the property as an investment property (IP) or a Principal Place of Residence (PPOR). The Office of State Revenue is the receiver of this duty, and their rates are listed here http://www.osr.qld.gov.au/duties/about-duties/rates-of-duty.shtml You can calculate it yourself, or use some online calculators provided by most banks on their websites. also, if this is your first property and you qualify for the first home owners grant, then there are some concessions to be made here, provided you comply with their requirements.

Conveyancing (legal), varies by which conveyancer you use;

mortgage registration fees, only usually a few $hundred;

Loan Mortgage Insurance (if you are using less than a 20% deposit), also varies dependant on which bank and their preferred insurer, as well as various other factors;

Oh, and landlords insurance/home insurance, etc… you may have to pay a month or so in advance depending on who you use.

That should just about cover off purchase of an established house, but I have no idea what the costs would be for a new build… Someone on here will have a clue with regard to that, and I would be interested to know also!

As always, comments are of a general nature and are not specific to your situation. Seek professional advice, your broker or loan manager should be able to help you out with determining the most of it or help point you in the right direction. The more research you do, the less likely you are to encounter any nasty surprises, but you will ultimately be responsible for identifying and covering all costs/problems associated with your purchase.

It will depend on other factors which include:

1) Is it your first purchase?
2) Is it owner occupied?
3) Is the purchase price under $500,000?
4) Is it owner occupied.?
5) How much do you need to borrow?

Once you now this you can work out some of the costs involved.

Cheers

Yours in Finance