Whilst buying a home is an exciting time, it can also raise some questions, especially when you do not know how much money is required. There are many costs that should be factored in to your budget when purchasing a property.
Here are a few costs you may need to consider:
Building/ Property Inspection: you may wish to have a building or property inspection carried out as a condition of sale. This is always a good idea as it brings to light any issues or areas of concern.
Pest Inspection: having a pest inspection done will allow you to establish that your new dream home is free of any additional tenants such as termites.
Strata fees: If you are purchasing in a strata complex, there could be fees associated with this. These fees are normally disclosed at the time of purchase. If you are not aware of these costs, be sure to do some investigation prior to settlement.
Rates: Both water and council rates will be paid at the time of settlement. The owner may have already paid these rates and will need to be reimbursed. These costs are regular expenses that need to be factored in to your ongoing budget.
Settlement fees: you will need to appoint a settlement agent to finalise the purchase. Please call Settlementtalk to obtain the fees and charges.
Duty(Stamp Duty): You will be liable to pay duty at the time of settlement. Duty is calculated on the price of the property. Please call Settlementtalk to obtain the duty amount you will be required to pay.
Mortgage fees: depending on who you use, there can be many costs associated with your mortgage including an application fee, valuation fee, document preparation fee. All of this is on top of your regular repayment amount. You may also need to take out lender’s mortgage insurance. PLEASE NOTE: These fees are often deducted from the loan amount at settlement.
Other Fees: May include Landgate registration fees on the transfer of land, Landgate Title search fees , Water, Shire, Land Tax, WAPC enquiry fees, PEXA EConveyancing fees, Stewart Title Insurance Fees.
Be sure you understand all of the costs involved in purchasing your property so that you are well prepared.