Low Deposit Hub
Who Can Broker a Loan With Low Deposit Options for Home Buying?
WizWealth Finance helps first-home buyers and families secure low deposit home loans — from 5% deposit under the Home Guarantee Scheme to 2% for eligible single parents via the Family Home Guarantee — plus lender pathways like parental guarantees and LMI waivers.
How we get you buying sooner
- Confirm scheme eligibility and price caps
- Compare lenders that support 5–10% deposits
- Explore parental guarantees, LMI waivers and deposit bonds
Which Low Deposit Scenario Suits You?
First Home Buyer – 5% Deposit
Overview: Using government guarantee / scheme, possible to avoid or reduce LMI, eligibility includes income limit, property price caps. See First Home Guarantee details.
Second Property / Previous Ownership
Scenario: you have owned property before, selling or not. Rules / eligibility may differ for guarantee schemes, borrowing power, and LMI. Let's compare what's possible.
Self-Employed / Variable Income
Things to consider: lender documentation, proof of income, higher scrutiny; need to show stability, possibly larger buffer.
Trade-Offs & Risks of Low Deposit Loans
- Higher Loan-to-Value Ratio (LVR) → more risk if property prices fall.
- Possibility of higher interest rates / higher fees.
- Lender's Mortgage Insurance (LMI) cost added up front.
- Slower equity growth; may limit refinance options in early years.
- Need for larger buffer in repayments in case of rate rises.
Worked Example: 5% Deposit vs 20% Deposit
| Scenario | Purchase Price | Deposit Amount | LMI / Guarantee Cost | Monthly Repayment Difference |
|---|---|---|---|---|
| 5% Deposit | $700,000 | $35,000 | $12,500 (LMI / Guarantee) | +$250/month vs 20% deposit |
| 20% Deposit | $700,000 | $140,000 | $0 (no LMI) | Baseline repayments |
Faq's
Can I buy with just 5% deposit?
Yes — if you qualify for the Home Guarantee Scheme and the property meets price caps.
Is a 2% deposit possible?
Eligible single parents under the Family Home Guarantee may purchase with a 2% deposit.
What is a 5% deposit home loan in Australia?
A 5% deposit home loan in Australia allows buyers to enter the property market with minimal savings. WizWealth Finance helps assess eligibility, access lender options, and structure loans that reduce upfront costs while maintaining long-term affordability.
What government schemes support low deposit home loans in Australia?
Government schemes for low deposit home loans in Australia include grants and guarantee programs for eligible buyers. WizWealth Finance guides applicants through these schemes, helping maximise benefits and secure affordable home loan solutions with reduced deposit requirements.
How can first home buyers get low deposit home loans in Australia?
First home buyers can get low deposit home loans in Australia through lender programs and government support. WizWealth Finance helps assess eligibility, compare options, and secure affordable loans that reduce upfront costs and simplify the buying process.
How to get a home loan with a small deposit in Australia?
To get a home loan with a small deposit in Australia, borrowers must meet lender criteria and explore support schemes. WizWealth Finance helps structure applications, compare lenders, and secure cost-effective solutions with minimal upfront investment.
