How much cash should I prepare for purchase?

Hi all I'm new to property market and I'm preparing for my first purchase.

Somehow I'm not sure how much I should have on hand for deposit and other charges (like stamp duty, legal fee...etc)

For example,

If the property is 1mil, with LVR 80%, it should be 200k deposit. Plus other charges (around 50k for IP?) it should be 250k cash I should have for the purchase, is that correct? It is from the assumption that loan is based on the property price but not the total expense.

Would appreciate if someone can give me a clue.

 

I normally budget on 24% of the purchase price.

20% deposit and 4% for costs.

But one can buy and put more cash in; also can buy and put in less.

 

You can find stamp duty calculators online, just google OSR + your state.

I'm assuming you're purchasing in VIC so here is the VIC one, for example
State Revenue Office Victoria - Calculator (Duties Act - Land Transfer)

Stamp duty is the main one, I usually assume 5k for legals just in case (though more often it's more like 1.5k to 2k). Also insurance.

 

Tess is on the money.

Check out the SRO calc and I usually add a further $3k on top for legals/misc purchase costs.

Stamps on a $1m purchase in VIC will be pretty high :-(

Cheers

Jamie

 

Yeah, know your likely LVR, these days have an extra 10% or more in case they drop the loan offer, then calc stamps, allow your legal fees, and aloow for adjustments of rates etc, and insurance cost, and any other fees that may get sprung on you.

 

250k is a good rough indicator.

For a 1mill place in Sydney, 240k will be closer to the actual number (3.8% duties, plus a couple k for other costs).

 

@kaacu
As noted - if it is a pre-approval, you do need to show deposit available for the purchase price you are targeting, including stamp duty, legals etc.