First Home Buyers: The Costs People Often Forget to Budget For
When you’re buying your first home, most people focus on the big numbers — the deposit and the loan repayments. But it’s often the smaller, overlooked costs that catch buyers off guard.
Here are some of the most common things first home buyers forget to budget for, and why planning for them early makes a big difference.
Stamp Duty (If It Applies)
Depending on where you’re buying and the property price, stamp duty can be a major cost.
Some first home buyers receive exemptions or concessions — but not everyone does, and it’s not automatic. If stamp duty applies, it can add thousands to your upfront costs, so it’s important to check this early.
Legal & Conveyancing Fees
Buying a home involves contracts, searches, and legal checks.
Conveyancing or solicitor fees are often forgotten because they don’t get as much attention as the deposit — but they’re unavoidable and need to be paid before or at settlement.
Building & Pest Inspections
Inspections are easy to overlook when budgeting, especially if money feels tight.
But skipping them can lead to expensive surprises later. These are upfront costs that protect you from much larger repair bills down the track.
Loan Fees & Settlement Costs
Not all loans are fee-free.
Depending on the lender and loan type, you may need to budget for:
- Application or establishment fees
- Valuation fees
- Settlement or discharge fees
Moving Costs
Moving day adds up faster than most people expect.
Removalists, truck hire, packing supplies, cleaners, and even time off work can all impact your budget — especially if settlement and moving happen close together.
Insurance (Before Settlement)
Many buyers don’t realise they need insurance before settlement — not after.
Building insurance is often required by lenders from the moment contracts are unconditional, and it’s a cost you’ll need to plan for early.
Utility Connections & Setup Costs
Connecting electricity, gas, internet, and water often comes with setup fees.
These aren’t large individually, but combined they can still surprise buyers who haven’t planned for them.
Furniture, Appliances & Small Upgrades
Even if the home is move-in ready, most buyers end up spending money after settlement.
Things like:
- Furniture
- Whitegoods
- Window coverings
- Minor repairs or improvements
These costs aren’t urgent — but they’re very common.
Ongoing Costs You’ll Now Be Responsible For
Once you own a home, some regular costs may be new.
- Council rates
- Water rates
- Strata fees (if applicable)
- Maintenance and repairs
Factoring these in helps ensure repayments remain comfortable long-term.
Want Help Budgeting Properly Before You Buy?
Many first home buyers don’t struggle because of the loan — they struggle because they weren’t prepared for the full picture.
A quick conversation can help you understand the true costs involved and make sure nothing is overlooked.
