List of Extra Costs for Purchasing a Home in Queensland

Buyers should be aware of various additional costs—some of which may not be immediately apparent or outlined when you find a house, land or unit to purchase in Brisbane and Queensland.

These upfront and less obvious expenses can be upwards of $40,000 on top of the home's purchase price, making it crucial for buyers to fully understand them. Some of these costs are influenced by the property's value and its location.

POTENTIAL UPFRONT COSTS OF BUYING HOUSE OR LAND IN QUEENSLAND

Purchase Price - Median House Price in Queensland 2024 approximately $883,357

STAMP DUTY

Stamp duty is a tax imposed by state and territory governments when property or land is transferred.

The cost of stamp duty can run into the tens of thousands of dollars. The exact amount varies based on factors such as the property's value, its location, whether the buyer is a first-time homebuyer, whether the property is new or pre-owned, if it's vacant land, and other relevant criteria. Read our Guide on New Home Buyers Queensland Help & Schemes

Stamp Duty (First Home Buyer) $0.00

Stamp Duty (Not First Home Buyer) Use our Stamp Duty Calculator

BUILDING & PEST INSPECTION

A building inspection is an evaluation of a property’s condition carried out by a licensed inspector, typically before making an offer, though an offer can also be made subject to the results of the inspection.

Many buyers also request their inspectors to look for signs of pest damage, which usually incurs an additional fee. However, this is often recommended, as termites and other pests can cause significant and costly damage.

Building & Pest Inspection $600

MORTGAGE REGISTRATION & TRANSFER FEE

Mortgage registration and transfer fees are the expenses involved in officially registering a mortgage and transferring the ownership of a property. The transfer fee is determined by the Queensland state government and covers the transfer of the property's title from the seller to the buyer.

Read our guide on the APRA rate & Home Loan Guide Here

Mortgage Registration Fee $187

Transfer Fee ($35 for every $10,000 over $180,000)

LOAN APPLICATION FEE

Loan Application Fee $600

Loan application or establishment fees are charges related to the process of setting up a loan with a lender. They can either be a flat fee or a percentage of the loan amount and some lenders may waive these fees, depending on the situation.

LENDERS MORTGAGE INSURANCE

Lenders’ mortgage insurance (LMI) is a fee charged by banks and other lenders when they consider the borrower to be a higher risk. This typically applies when the deposit is less than 20% of the property’s purchase price or if the borrower has an irregular income history.

While the LMI is generally paid as a lump sum at settlement, many lenders allow borrowers to roll the cost into the home loan. This way, the fee is added to the monthly mortgage repayments, reducing the need for upfront payment. However, this option increases the total loan amount, meaning borrowers will pay more in interest over time, resulting in higher monthly repayments.

CITY COUNCIL & WATER RATES FOR A CONVEYANCE

The seller typically pays any outstanding council rates up to the end of the current billing period, which is usually until the end of the quarter. The buyer’s share of these rates is then added to the purchase price.

Council and water rates vary by location, as each local council and water authority sets its own rates. While most utilities, such as electricity and gas, are disconnected and reconnected during the sale process, water charges can overlap. The seller is typically responsible for paying for all water consumption up to the settlement date. A special water meter reading is usually taken to determine the exact usage, after which the buyer assumes responsibility for the charges.

City Council & Water Rates $500

PROPERTY INSURANCE

Home insurance, also known as property or building insurance, typically covers the main dwelling, garage, other secure outbuildings, and any items that are permanently attached to the property, such as light fittings and built-in wardrobes.

In contrast, contents insurance covers movable items within the home that aren't fixed to the structure, such as furniture, televisions, and refrigerators.

Both types of insurance protect against a variety of risks, including damage from fire, storms, and flooding.

Read our guide on Property Insurance Here

STANDARD CONVEYANCING & LEGAL FEES IN BRISBANE & QUEENSLAND

With over 30 years of experience in Queensland property conveyancing, John Horrocks has successfully managed more than 75,000 property settlements throughout his career. Along with his team of dedicated conveyancing professionals, Horrocks Solicitors is regarded as one of Brisbane’s most trusted property law firms.

We offer a dedicated personalised approach, providing step-by-step guidance throughout the process, with no upfront fees for property purchases, sales, or transfers. Contact our friendly team today to confirm your free fixed quote and a contract review before you sign.

Standard Conveyancing & Legal Fees $1200 including GST

Read our guide on How much Conveyancing Costs in Queensland

If you are buying a new home, house or land in Queensland read our Conveyancing Checklist for Buyers here