There are a number of costs involved in purchasing and/or refinancing a property. The following is a guide only. You should speak to your solicitor or conveyancer for a full and accurate assessment of costs associated with your loan.
The following is a list of Government charges which may be levied on the sale or refinance of your property:
Stamp Duty on the Mortgage
Stamp duty is levied on the mortgage used as security for the loan. The stamp duty is assessed on the amount borrowed and stamped on the mortgage documents. Stamp duty on the mortgage is usually paid to the state government via your mortgage provider at the time of settlement. When refinancing, you may be able to utilise stamp duty previously paid on a current mortgage at another Financial Institution.
For information on stamp duty rates, contact your Solicitor or Conveyancer or contact your State Revenue Collection Office.
Stamp Duty on Transfer of a Property purchase
This amount is only applicable when you are buying a property. Stamp duty on the purchase is normally paid via your solicitor/conveyancer before settlement, however in Victoria it is generally collected and paid to the Government via your mortgage provider. This stamp duty is payable to the Office of State Revenue in your state.
Registration of the Title Transfer
The “title” is the legal document which certifies you as the rightful owner of a property. When you are buying a property from another party, the title document must be updated to reflect you as the new owner. To update a the Title Document a fee is paid to the Land Titles Office in your state.
Registration of Mortgage
When you take out a loan, which is “secured” against a property, you are allowing the lender to take a mortgage over your property, giving the lender “a legal interest”. To update the Title of your property in this regard, a registration of mortgage fee is paid to the Land Titles Office in your state.
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