Buying a home in Victoria

Buying in Melbourne or regional Victoria involves more than finding a property you love. Understanding your budget, the sale process and the checks to make can help you approach the purchase with greater confidence.

Build a complete purchase budget

Your deposit is only one part of the cash you may need. Set aside room for purchase and moving costs, as well as a buffer for the unexpected. The amount depends on the property, your circumstances and your chosen loan.

• Land transfer duty, unless a relevant exemption or concession applies.

• Conveyancing or legal fees, building and pest inspections and any owners corporation checks.

• Loan application, valuation, registration or settlement fees where applicable.

• Lenders mortgage insurance where required, plus moving, insurance and initial property costs.

Treat pre-approval as a starting point

Pre-approval can indicate what a lender may consider lending. It is not unconditional approval. Conditions, expiry dates, changes to your circumstances and assessment of a particular property can all affect the outcome. Check with your broker before making an offer or bidding.

Understand the sale method

Auctions and private sales have different rules. Do not assume you can add a finance condition to an auction purchase or rely on a cooling-off period. Ask your conveyancer or solicitor to review the contract and vendor statement before you commit, and confirm deposit and settlement requirements.

For a private sale, ask your legal adviser whether a finance condition is appropriate, what it covers and how the deadlines work. A finance condition is not the same as having finance approved.

Check assistance against current rules

Eligible first-home buyers may have access to assistance, duty concessions or exemptions. Eligibility, property limits and scheme availability can change. Check current official rules rather than assuming a benefit applies to your purchase.

Victorian buying process: Consumer Affairs Victoria

Duty and first-home assistance: State Revenue Office Victoria

Riconic Finance can explain the lending side and coordinate with your other advisers. Your conveyancer provides legal advice and your accountant can explain any tax implications.