It can take the average first home buyer more than five years to save for a house deposit. That's five more years of paying rent, watching your dollars and hoping house prices don't shoot upwards again. But there are ways to get into the home ownership game sooner.
Lenders mortgage insurance
When we talk about saving for a home deposit, we usually mean 20% of the purchase price, because this is what you need to take out a home loan without lenders mortgage insurance (LMI). However, if you're prepared to pay for the insurance you can borrow up to 95% of the property price and get into the market sooner.
The smaller the deposit and
