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
Quick Answers
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.
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 |
