How much deposit do you need to buy a home in Australia?
There is no single deposit percentage that applies to every Australian home loan. A 20% deposit is a common planning target because it produces an 80% loan-to-value ratio and will generally avoid lenders mortgage insurance. Some lenders accept smaller deposits, while eligible government-supported buyers may have other options.
Your deposit is only one part of the cash needed to buy. Transfer duty, conveyancing, inspections, loan fees, moving costs and an emergency reserve can substantially increase the savings target.
Deposit, LVR and lenders mortgage insurance
Loan-to-value ratio compares the proposed loan with the lender-accepted property value. For example, a $160,000 deposit on an $800,000 property leaves a $640,000 loan and an 80% LVR. If the lender values the property below the contract price, the assessed LVR may be higher.
LMI commonly applies when the LVR is above 80%. It protects the lender, not the borrower, and its cost depends on the lender or insurer, loan size, LVR and borrower circumstances. This calculator flags potential LMI rather than inventing a universal premium. MoneySmart describes 20% plus buying costs as a useful savings goal and explains that LMI may be paid at settlement or added to the loan.
Transfer duty and concessions
Transfer duty—often called stamp duty—is set by each state or territory. Price thresholds, first-home buyer concessions and exemptions differ, so enter an estimate from the relevant revenue authority.
First Home Super Saver scheme
The FHSS scheme may let an eligible first-home buyer release eligible voluntary super contributions and associated earnings. Use only the expected release amount from an ATO determination, not the total super balance.
Home Guarantee support
An eligible buyer using an Australian Government guarantee may purchase with a smaller deposit without paying LMI. A guarantee is not a cash contribution to the deposit and eligibility must be confirmed with a participating lender.
How this Australian deposit calculator works
Choose a 5%, 10%, 20% or custom deposit. The calculator subtracts that amount from the purchase price to estimate the base home loan and LVR. It then adds your entered buying costs and emergency reserve, subtracts available savings and other eligible funds, and calculates a simple savings timeline for any remaining shortfall.
Use local figures whenever possible. Transfer duty and concessions change by jurisdiction; conveyancing, inspections and lender fees vary; and the lender must verify gifts, grants, FHSS proceeds and the source of your savings. After setting a deposit target, use the Australia mortgage calculator to compare repayments and interest.
First Home Super Saver limits
The Australian Taxation Office states that eligible voluntary contributions counted under FHSS are limited to $15,000 per financial year and $50,000 across all years. The amount released also depends on contribution type and associated earnings. Read the current ATO First Home Super Saver guidance before relying on an amount or timing a purchase.
Australian home deposit questions
Do I always need a 20% deposit?
No. Some loans and eligible guarantee arrangements permit a smaller deposit. A 20% deposit is a common target because it ordinarily avoids LMI, but lender requirements vary.
Is stamp duty included?
The calculator includes the amount you enter. It does not calculate duty automatically because rules, thresholds and concessions differ by state or territory and buyer circumstances.
Does a 5% deposit mean a 95% LVR?
Usually, when price and accepted valuation are equal and no costs are added to the loan. A lower lender valuation or financed costs can increase the effective LVR.
Does this calculator estimate LMI?
No. It identifies when LMI may apply above 80% LVR. Obtain an actual premium or lender quote because there is no single universal Australian rate.
Can I count FHSS money as available funds?
Enter only an amount you reasonably expect to be released under an ATO determination and available for the transaction. Eligibility, tax treatment and timing conditions apply.