How to Compare Home Deposit Scenarios in Australia

Calculate the deposit amount

Multiply the property price by the deposit percentage. For a $600,000 property, 5% is $30,000, 10% is $60,000 and 20% is $120,000. These are arithmetic examples, not minimum requirements applying to every loan.

Check loan and scheme eligibility

From 1 October 2025 the Australian Government 5% Deposit Scheme has unlimited places and no income cap. Eligible buyers still need to satisfy property limits and lender requirements. A 5% deposit does not establish approval or affordability.

Allow for other costs

Transfer duty, registration, inspections, legal fees and loan charges can require money beyond the deposit. Lenders mortgage insurance depends on the product and circumstances. Obtain a quote rather than treating an estimated percentage as a universal premium.

Compare the ongoing commitments

A larger deposit can reduce borrowing, but the comparison also depends on available cash, repayments and other obligations. A smaller deposit can expose the borrower to greater debt. Neither entering the market earlier nor waiting guarantees a better outcome.

Check savings and security arrangements

Savings rates vary by provider and date. Guarantor arrangements can put another person’s assets at risk and require specific advice. Super-based home-saving arrangements have eligibility, contribution and release rules; check the ATO before relying on a withdrawal.

Sources

See official scheme details and Moneysmart buying guidance. Use the calculator for scenarios. This is general information only.