Understanding the Costs of Buying a Home in Melbourne

Introduction: Buying a Home in Melbourne

Buying a home in Melbourne is a dream for many Australians and investors alike. As one of Australia’s most vibrant and livable cities, Melbourne offers lifestyle, career opportunities, and investment growth. However, understanding the full financial commitment involved is crucial before signing the dotted line. In this article, we’ll break down the real costs associated with buying a home in Melbourne and how The Lancore West & North can help guide you through the process.

1. What Costs Should You Expect When Buying a Home in Melbourne?

When planning your purchase, it’s not just the property’s listing price that matters. Buyers should also factor in several additional expenses, including:

• Stamp Duty: One of the largest expenses after the home price. It varies depending on the property value and whether you’re a first-home buyer or investor.

• Legal & Conveyancing Fees: Usually between $800–$2,000, covering contract reviews and title transfers.

• Building & Pest Inspections: Optional but highly recommended, costing around $300–$800.

• Loan Application & Lender Fees: Banks often charge loan setup fees, valuation costs, and mortgage registration fees.

• Lenders Mortgage Insurance (LMI): If you have a deposit under 20%, you may need to pay LMI, which can be thousands of dollars.

• Home Insurance: Required before settlement; premiums depend on the property.

• Utility Connections & Moving Costs: Budget for electricity, water, internet, and moving companies.

• Ongoing Council & Maintenance Fees: Don’t forget annual rates, strata fees (if applicable), and maintenance.

2. How The Lancore West & North Will Help You

Navigating the Melbourne property market can be overwhelming, but that’s where we come in. At The Lancore West & North, we assist buyers by:

• Helping you understand all upfront and hidden costs

• Recommending trusted mortgage brokers and legal advisors

• Providing guidance on market trends and ideal locations

• Connecting you with reliable inspectors and service providers

• Negotiating the best possible price on your behalf

3. Friendly & Experienced Staff

Our team isn’t just professional—we’re people who care. We pride ourselves on being approachable, helpful, and responsive to all your questions and concerns. Whether you’re a first-home buyer or seasoned investor, you’ll feel confident with us by your side. We’re committed to making your buying journey seamless and stress-free.

4. Why Choose The Lancore West & North?

Choosing The Lancore West & North means choosing industry expertise and a deep understanding of Melbourne’s real estate landscape. Our local knowledge of VIC suburbs, paired with a client-first approach, means you get advice that’s in your best interest—not a sales pitch.

We work tirelessly to deliver outcomes that match your goals. Our team offers tailored solutions, step-by-step guidance, and full transparency—because buying a home in Melbourne should feel exciting, not stressful.

Need Help Buying a Home in Melbourne?

Reach out to us at
📍 27 Bear Street Tarneit VIC 3029, Australia
📧 prince@thelancore.com.au
📱 +61 430 200 133
🌐 Contact us now

10 FAQs

• What is the average cost of buying a home in Melbourne?
  It depends on location and property type, but median house prices in 2025 hover around $800,000–$1M.

• What is stamp duty, and how is it calculated?
  A government tax based on the property value; VIC has specific rates and concessions for first-home buyers.

• How much deposit do I need to buy a home in Melbourne?
  Ideally 20% to avoid LMI, but some loans allow as little as 5% with extra conditions.

• What does a conveyancer do?
  They handle all legal aspects, including contracts, title checks, and settlement.

• Can I buy a home without a buyer’s agent?
  Yes, but using a professional real estate agent like us ensures better negotiation and less stress.

• What are some common hidden costs?
  LMI, loan setup fees, pest inspections, and moving expenses.

• Is Lenders Mortgage Insurance refundable?
  No, it’s a one-time cost payable upfront or added to your loan.

• Are first-home buyers exempt from stamp duty in VIC?
  Some are, depending on property value and eligibility.

• How long does it take to buy a home in Melbourne?
  Typically 30–90 days from offer to settlement.

• Where can I find a trusted Real Estate Agent in VIC?
  Right here! Contact The Lancore West & North for expert service.