Unexpected costs leave many first-home buyers with minimal to no savings
First-home buyers in Australia are encountering thousands in unexpected expenses before they even move into their properties, according to new research by comparison website Finder.
Finder’s First Home Buyer Report 2025, based on a national survey of 1,006 first-time buyers, found that 40% of respondents faced unanticipated charges during the purchase process.
On average, these surprise costs amounted to $5,290 per buyer. Common additional expenses include stamp duty, lender’s mortgage insurance, conveyancing, and inspection fees.
First-home buyers continue to struggle with rising house prices and higher deposit thresholds. The report also revealed that nearly half of new homeowners went over their initial budgets, while one in three were left with under $10,000 in savings post-purchase. Fourteen percent reported having no savings at all.
“Many are stretched to breaking point and hidden costs can quickly create a financial nightmare,” said Graham Cooke (pictured), head of consumer research at Finder. “We’re seeing people drain their savings just to get over the line, which leaves no buffer for hidden fees.”
Cooke pointed out that many buyers underestimate the full scope of upfront costs.
“Too often, first-home buyers focus solely on the deposit and forget about the thousands in upfront extras," he said. “Stamp duty, solicitor fees, insurances, building and pest inspections – they all add up fast. If you don’t factor them in, you’ll be scrambling.”
He encouraged prospective buyers to do their research and budget for every aspect of a home purchase.
“When you’re fully informed, unexpected expenses become expected – and nothing takes you by surprise,” Cooke said.
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