Thinking About Buying a Property?

Buying a house and knowing how to identify any hidden costs.

Buying a House

When buying a house, the person selling the house is the vendor and you are the purchaser.

Before making an offer to buy a house you should:

  • complete a title search for the property. (seek legal advice for this);
  • speak to a financial institution like a bank to see how much money you are able to borrow;
  • find out if there is any government support in forms of rebates with nationalized banks or tax breaks available especially if you are a first home-buyer;
  • think about your future expenses and how much you can save once you own your own home; and
  • find out what minimum deposit you need to purchase the property.

Hidden costs

It is best to get a good overview of all the expenses prior to making a decision to put an offer in on a house. There are other expenses that you may need to pay when buying a house, for example:

  • Government Stamp Duty , which is a tax for buying a house;
  • Property agent fee
  • loan application or establishment fees;
  • mortgage costs and insurance;
  • legal fees for title search and conveyancing;
  • building inspection costs;
  • moving costs; and
  • any repairs or maintenance that the house may require.

There are ongoing expenses associated with owning your own that you should consider, for example:

  • home and household items insurance;
  • home utility costs including water, electricity and gas bills;
  • maintenance costs; and
  • local authority taxes.