Along with the costs of checking out the property you are buying and moving from
one property to another, there are numerous government fees, taxes, legal fees and
lender fees incurred when you buy a new home and go for a home loan.
Remember that most of these are paid before or around the time your property settles
so your savings or loan will need to cover these amounts as well. Typically, these
have been factored into the purchase price.
Additional Lender Fees
Depending on your situation, many lenders will negotiate on fees including waiving
or reducing them. But if there is a complete absence of up-front fees, it will generally
mean a higher interest rate or ongoing fees. Some of the fees that you need to consider
include:
- Home Loan Application Fees
- Home Loan Establishment Fees
- Service Fees
- Valuation Fees
- Legal Fees
- Account Transaction Fees
- Exit Fees (or Deferred Establishment Fees)
Some of these fees may even be received more than once as you review, check and
discard properties in your search. Fee costs differ but if you do your homework
and have an understanding of these fees upfront, then you will be in the best position.
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