How much do you actually need?
The deposit for a property purchase is typically between 5% and 20% of the purchase price. At 5% you'll likely pay LMI. At 20% you avoid it, access better rates, and borrow from a position of strength.
6 ways to save faster
1. Set up automatic transfers — Move money to a dedicated savings account on payday before you can spend it.
2. Separate savings account — Keep your deposit completely separate from your everyday account. Many high-interest savings accounts reward you for not touching the money.
3. Cut the obvious spending — Subscriptions, daily coffees, too many takeaway nights. Every dollar redirected adds up over 12–24 months.
4. Increase your income — Extra shifts, freelance work, a side hustle. Even $500–$1,000 extra per month makes a meaningful difference.
5. Sell stuff you don't use — Gym equipment, electronics, clothes. It won't save your entire deposit but it builds momentum.
6. Ask for help — There's no shame in it. Family can help in two ways:
- •Gifted funds — Cash gifted toward your deposit. The bank will want a signed letter confirming it's a gift, not a loan.
- •Guarantor — A family member offers equity in their own property as additional security, which can reduce or eliminate LMI and help you get in sooner.
Your savings history matters too
Banks don't just look at your deposit balance — they look at how you got there. Consistent deposits and minimal withdrawals tells a lender you're financially disciplined.
Book a free chat with Kick Finance and we'll help you work out exactly what you need and how to get there.
