Buying Your First Home Deposit

You can also figure out how long it will take you to reach your savings goal of a deposit.

Buying your first home deposit. Set up a savings account or term deposit or use the first home super saver scheme for up to 30 000 of savings. Many lenders now require a deposit of 20 of the purchase price excluding transaction costs. The typical deposit is 20 per cent of the purchase price although it s possible to buy a home with a deposit as low as 5 per cent. Some will accept lower deposits but you may have to pay lenders mortgage insurance. How much do you need for a deposit when buying your first home.

Work out a budget so you re setting aside money every week. When you have a stake in the property it reduces the lender s risk. That s why generally the lender will require that you have a deposit. Buying your first home can be overwhelming there s a lot to get your head around. The deposit is the amount of money you contribute from your savings towards the purchase.

From december 15 2017 till february 15 2018 the mydeposit scheme was accepting applications to make home ownership possible for first time buyers. Under the first home super saver scheme fhsss first home buyers who make voluntary contributions into their super can withdraw these amounts up to certain limits in addition to associated earnings from their super fund to help with a deposit on their first home.