Home loan deposits are a lot, right? All those zeroes and decimal places. You save and save but sometimes the goalposts move, or you have to make an unexpected trip home, or you just really needed that jacket and it was on sale.

The good news is, we understand it’s tough to save, especially when you really love all three of your streaming services. We want you to walk up your street and be filled with happiness at the sight of your own place. We want to see you in your comfy new living room. We want you to feel settled while you binge Game of Thrones.

And we’re good at maths, so we know it’s way easier to save 5%. That’s why we let you borrow up to 95% of the value of your chosen property.

But here’s the best part. Your deposit doesn’t have to all come from personal savings. There are plenty of grants and bonuses that first home buyers can put towards their deposit.

Let’s break it down: how much do you really need to save?

Bigger (deposits) is (are) better.

Lenders look at something called ‘loan-to-valuation ratio’, or LVR – that’s the ratio of your loan versus the value of the property you want to buy. So if you have a deposit of, say, 20%, you have an LVR of 80%. Or, if your deposit is worth 5%, your LVR is 95%.

The bigger your deposit, the better. It lowers your LVR, and that means lower repayments. And the lump sum you contribute as a deposit at the start, is money you’re not paying interest on later.

Smaller deposits mean lenders mortgage insurance.

There’s another good reason to aim for a bigger deposit. If your LVR is above 80%, it’s likely you’ll need to pay lenders mortgage insurance (LMI). It’s a one-off sum that protects the lender if you default on your loan.

Usually it’s bundled into the amount you borrow so it’s not an upfront payment, but it does mean you’ll pay a bit of a low deposit premium.

There are other upfront costs.

Buying a house is an expensive exercise. Besides the deposit for your lender, you’re also going to be forking out for legal fees, insurances, moving trucks, connection and disconnection fees and a fancy new welcome mat.

Stamp duty is the big drainer. It’s calculated on the contract price for your property and it just goes straight to the government, not towards paying off your place. The amount you’ll pay varies between states and territories – and as a first home buyer, you could be eligible for a discount. Use our stamp duty calculator to plan ahead.

You’ll need to have all of these costs covered in addition to the minimum deposit for a home loan.

A helping hand may be available.

Your deposit could be helped along by a whole range of grants and support. Here’s what’s currently up for grabs.

• $25,000 HomeBuilder – buy or build a new home costing below $750,000, or buy a ‘renovator’s delight’ and spend at least $150,000 doing it up, and you could pocket the $25,000 HomeBuilder grant.
• $20,000 WA Building Bonus – available when you build a new place in WA. Better still, no income or property value limits apply.
• $20,000 Tasmanian HomeBuilder – build a new home or demolish a wreck and rebuild, to claim Tassie’s own $20,000 HomeBuilder.
• $20,000 NT BuildBonus – exclusive to new home builders in the Top End but only 600 BuildBonus grants are available.
• First Home Owner Grant – if you’re a first-time buyer, you may be eligible for the first home owner grant (FHOG) . That’s a one-off payment to help get you into your home. There are various conditions and criteria, but it can contribute thousands of dollars to your loan – well worth checking out.

More ideas to get over the line.

You could explore buying a property with someone else. Maybe you and a friend can go halves, or  the bank of mum and dad is happy to top up your deposit? Remember if you’re buying with a friend, they will also need to demonstrate a strong savings history and ability to make repayments.

A cash gift can also be an incredibly generous boost to your deposit. Keep in mind that we’re keen to see your healthy relationship with savings, so getting a lump sum to cover the whole lot is actually not as impressive as consistently putting aside what you can afford.
Saving for a deposit can be pretty daunting, but a small deposit doesn’t have to lock you out. Have a play with the slider on our borrowing power calculator to see how a bigger deposit can affect your repayments.

And when you’re ready, a ME Mobile Banker can answer all your questions about getting into your own place sooner.

You could explore buying a property with someone else . Maybe you and a friend can go halves, or the bank of mum and dad is happy to top up your deposit? Remember if you’re buying with a friend, they will also need to demonstrate a h2 savings history and ability to make repayments.

A cash gift can also be an incredibly generous boost to your deposit. Keep in mind that we’re keen to see your healthy relationship with savings, so getting a lump sum to cover the whole lot is actually not as impressive as consistently putting aside what you can afford.

Saving for a deposit can be pretty daunting, but a small deposit doesn’t have to lock you out. Have a play with the slider on our borrowing power calculator to see how a bigger deposit can affect your repayments.

And when you’re ready, a ME Mobile Banker can answer all your questions about getting into your own place sooner.