It has to be said that compared with the housing prices in domestic first-tier cities, Australian houses can be described as “really cheap.” Not only can you have a large living space, but you can also enjoy the luxurious home decoration. Just you have to follow the house buying guide in properly.
But although the house looks inexpensive, as an Australian homeowner, there are still a lot of worries. For example, after buying a house in Australia, there are various and cumbersome support expenses to be paid. So, today the editor will give you a detailed talk about what fees do you need to pay to buy a house in Australia? What are the maintenance fee standards for different room types?
This article will take you to learn more about the specific costs of housing maintenance in Australia.
House Buying Stage
- EOI Intention Money: Generally ranging from 1000 to 5000 Australian dollars, this money is used to book the apartment, if you give up the purchase, it will be refunded unconditionally, and it can also be deducted as the purchase amount after the house is confirmed.
- Down Payment: Usually, 10% of the room price, as long as 10% is paid after the contract is signed.
- FIRB Application Fee: For properties under 1 million Australian dollars, the application fee is 5500 Australian dollars, and so on. If the property purchased exceeds 10 million Australian dollars, it needs to be reported to the Australian Taxation Office ATO. Vital & most essential stage to house buying guide in Australia.
Detailed FIRB Rates Can Also be Found.
- Final Payment: If you want – new house buying in Australia, the buyer can choose to pay in full or choose a loan. Generally, the developer’s lawyer will send a letter to inform the buyer to prepare for the closing before the house is handed over, and make the final payment on the day of the house.
- Stamp Duty: According to different state tax rates and payment time, the current Queensland tax rate for overseas buyers is 7%, which is paid during the delivery period. The delivery time and proportion of the stamp duty are currently delivered in several mainstream areas in Australia At the latest, the tax rate is the lowest.
- Holding Stage Loan Repayment Cost: If the buyer involves a loan in the purchase of a house, he needs to repay the loan regularly, which can be repaid weekly, or every two weeks or monthly. Council Rate and Water Fee: Council Rate generally involves municipal management costs such as garbage removal and road maintenance. Property fees: fees vary slightly in different communities, and generally, House does not involve this fee.
If you want to resell your property, a Capital Gain Tax will be generated. Based on Australia’s Negative Gearing negative gearing system, it is recommended to seek professional accountant help, reasonable tax refund, and reduce the tax payment required.
Charges for Different Room Types
Land Tax: Every house is required to pay land tax. Generally speaking, the land tax that needs to be paid every quarter ranges from 300 to 600 Australian dollars. The land tax for luxury homes ranges from 500 to 650 Australian dollars. For most apartments near the city centre, the land tax price for one-bedroom is AUD 350 to 450; for the second bedroom, it is AUD 350 to 600; for the third bedroom, the price depends on the location of the price.
Australia calculates expenses on a quarterly basis, and there will be a small increase or depreciation every year, which is generally adjusted according to the rise and fall of land prices. Therefore, the total amount of land tax to be paid in the four quarters of a year is usually around AUD 1,200 to 2,400. So, everybody should follow this enlisted of house buying guide.
Sewage Charges: In Australia, an additional sewage charge is required, and this charge is at most about 800 to 1,000 Australian dollars per year.
Property Costs: Property fees will be priced according to different housing types. For apartment buildings with various shared facilities, the annual property fee is 0.8% to 1.2% of the property value. It is reasonable, while for buildings and townhouses without any shared facilities, it is 0.3% to 0.7% of the property value. Townhouses and apartments are 100% subject to property fees. However, you are buying land and building a house is not needed.
In addition, some communities may only need to pay part of it, depending on the regulations of different communities. Property fees are paid on a quarterly basis. In general, the property fee for an apartment is about AUD 3000 to 3500 per year for one bedroom; around AUD 3800 to 4500 for the second bedroom; and over AUD 4500 for three bedrooms. Other fees No matter what type of house you buy, as long as you use it for rent, you must file a tax return! If the house is empty, the government will charge a vacancy tax. Locals can actually buy a house through reasonable taxes, such as depreciation expenses. This part of the local tax rules can be consulted with your own accountants.
6 factors Affecting Charges
Charges are sometimes affected due to certain factors. Here are 6 factors that affect the charge-
- Common Areas and Facilities that Need Maintenance: The more common facilities and equipment, the higher the cost. For example, swimming pools need to be cleaned, changed, and disinfected regularly, and water pumps need to be checked and maintained regularly. Although there are a large number of owners, there are more places to spend money, and a lot of expenses are allocated to each head of the household.
- The Number of People Using Shared Areas and Facilities and the Degree of Wear: To use shared areas and shared facilities and equipment, not only the owners and tenants but also their guests. If the flow of people is large, the cleaning of the corridor must be strengthened, and the expenses will increase accordingly. How to use it is also very important. If all the residents take good care of the shared facilities and use them reasonably, only normal maintenance is needed.
- The Service the Owner Wants: Take cleaning as an example. Some properties of the same size have lower requirements and the ground is not dirty, while some require that in addition to the ground, the stair railings and corridor walls must be cleaned every day. The same is cleaning, and the time spent by workers is different, and the expenses are naturally different.
- Is there an Overhaul Fund?: Some communities require the payment of the overhaul fund. When necessary, you can take the money from the account. If you do not require it, the cost is usually lower, but when necessary, additional fees will be levied and shared by the owners.
- Management Staff: Australia’s labour is particularly expensive, and the number of management staff also determines the number of property fees charged. Are there any on-site management personnel.
- Are the Property Management Company and the Committee Doing their Best?: For example, if the elevator maintenance contract expires, whether to allow the contract to be renewed automatically, or to make an investigation in advance, this requires the property and the committee to work together and actively participate in management.
I hope that through the content of this article, you can understand the things about maintaining them after buying a house. Help you easily understand where each expense goes. This should have given you a perfect detailed explanation of the costs that await you when you decide to buy your own house. If you need more information about that, quick contact your real estate agent in Australia.