Knowing how much deposit you will need can be difficult and the more deposit you do have, the less you will need to borrow. However, there are a number of factors to keep in mind when deciding what your deposit amount should be. Firstly, you need to consider how much you can regularly afford in repayments. Keep in mind potential changes in interest rates and the impact this would have on your budget.

Next, consider your LVR, or loan to value ratio. This has a large impact on the amount.

You can borrow and is a good gauge for working out how much you need to save. As a minimum, it’s wise to save at least 5% of the property value. However, there may be certain loans and lenders who don’t require this. Ask your Lending Adviser for more details.

Finally, consider any additional costs associated with buying your first home. These may include mortgage insurance, stamp duty, conveyancing fees, legal fees and other costs. At KeyLend, our mortgage brokers can help you plan for these so you confidently budget for your first home.