Buying your first property is exciting, as well as potentially a little daunting. To help minimise your concerns, we’ve prepared this quick guide to help you understand the additional costs associated with buying your property. It will help you factor in additional costs to ensure you have sufficient funds, and enter the actual purchase with eyes wide open.

In short, buying a property involves both upfront and ongoing costs. As a home loan specialist, our role is to help our clients ensure they have considered these costs into their budget.

What are some of the upfront costs of buying a property?

Your up-front costs can include:

It’s important to remember that the total upfront costs will affect the amount you’ll need to save as a deposit.

What are the main ongoing costs of owning a property?

Some of the ongoing costs that come with a property can include:

Make sure you consider all possible ongoing costs before buying a property. They can add up and many property owners are taken by surprise when bills start arriving. It can also make a fundamental diffference to which property you choose to buy, considering the variance in things like strata levies or maintenance costs.

You may also want to consider an additional ongoing cost that may become relevant later on: land tax. This is an additional charge for investment properties. If your home becomes an investment property down the track, land tax will be an extra cost.

This is hopefully a good start, but if you are planning to purchase a property you may find it useful to have a conversation with us where you can ask any further questions and get an idea of what type of figures others are paying in regards to some of the above.