There are a number of costs to be aware of and plan for so that you know how much it costs to get a mortgage.
Using a mortgage broker generally means no direct costs to you for their services but there are other unavoidable costs. These may include:
- Solicitor/Lawyer Costs ($1,000 – $2,500)
- LIM report ($200 – $450)
- Pre-purchase Building Inspection Report ($350 – $500)
- Weather Tightness Report for Monoclad houses ($300 – $1,000)
- A Registered Valuation ($800 – $1,200)
- Finance fee for non-bank lending (~1-3%)
Prices can vary. Always request a quote before ordering any of these services.
Solicitor/Lawyer – How much it costs to use a lawyer and what does your lawyer they do?
Your Lawyer fees will be in the vicinity of $1,000 – $2,500, depending on how complex your personal situation is and what type of property you are looking to purchase.
Your Lawyer fees will be in the vicinity of $1,000 – $2,500, depending on how complex your personal situation is and what type of property you are looking to purchase.
It is one of the main costs of getting a mortgage. Please click on the following link for a more detailed explanation of What Does Your Lawyer Do.
LIM Report – A LIM report will cost $200-$400 depending on how quickly you need the report. It is a summary of information that the local Counsel hold on a property.
The report covers off information regarding consents, permits, code of compliance, potential erosion, subsidence, flooding of any type and any hazardous substances on the property, private and public stormwater and sewerage drain, rates, including any overdue rates.
Your solicitor should review this document.
Pre-purchase Building Inspection Report – How much do they cost and what do they report on?
The cost of a building report will depend on the type of the property you are purchasing.
Typically they will cost $350-$500.
The reports include visual inspections (and photographs) of the components of a building, such as the interior, exterior, outdoor, roof and site areas.
General inspections of a house’s plumbing, moisture and electrical conditions are also reported.
Weather Tightness Report – How much do they cost and what do they report on?
Monoclad building built between 1995 and 2005 may have water tightness issues.
This report provides a detailed investigation to assess where and why a building is leaking, with an initial repair proposal, and estimated costs to remediate the weather tightness defects and damage.
Registered Valuation – How much do they cost and what is their purpose?
A Registered Valuation will cost $800-$1,200, depending on the type of property and the distance to travel.
It involves a registered Valuer visiting the property to inspect and assess the expected market value of the existing premises.
If it is a new build the valuer will provide a value ‘As at Now’ for the existing land and an ‘On Completion’ value for the completed build using the builders’ consented plans and build specifications.
The valuer is essentially the eyes of the bank.
Knowing how much it costs to get a mortgage is a vital calculation. You will need to have some up-front cash savings available to pay for the majority of these costs. The lenders will often reimburse these costs with a cash contribution at mortgage settlement.