Your deposit is only one part of the cash plan.
The deposit is the amount you contribute to the property price. Buying costs sit beside it and can include transfer duty, conveyancing, building or pest inspections, loan fees and moving costs. Include a separate post-settlement buffer line when mapping the cash plan, rather than treating the deposit as the only cash requirement.
A smaller deposit may increase the loan-to-value ratio and can affect lender options, pricing or lenders mortgage insurance. The right starting point is the full cash position, not a deposit percentage viewed on its own.
- Deposit available now
- Purchase costs that may apply
- Emergency buffer after settlement
- Expected property price and type
- Any gift, guarantee or scheme conditions
Grant, duty relief and the Australian Government 5% Deposit Scheme are different.
Victoria has separate first-home support measures. The First Home Owner Grant is tied to eligible new homes and has its own conditions. First-home-buyer duty relief is a separate assessment based on the transaction and current Victorian rules.
The Australian Government 5% Deposit Scheme is another separate pathway. Participating lenders assess eligibility and submit applications under the scheme. Do not assume that qualifying for one measure means you qualify for the others.
- New or established property
- Purchase price and contract details
- Whether all buyers meet first-home and residency rules
- Owner-occupier requirements
- Participating lender and scheme assessment
If this support is important to the purchase budget, check the official rules before signing a contract. Thresholds, dates and eligibility can change. Contract and eligibility questions may also require independent legal or professional advice.
Build a repayment budget before a borrowing target.
A lender assessment and a household cash plan answer different questions. Map a repayment range alongside normal living costs, property costs and possible rate changes. Then compare it with the likely purchase price and cash position.
- Council rates, owners corporation and insurance
- Repairs and maintenance
- Changes to transport or commuting costs
- A repayment buffer for rate changes
- Savings left after settlement
Use that result as a prompt to revisit the price range, timing, savings target and repayment assumptions before treating an estimate as a workable plan.
Prepare for pre-approval without treating it as a guarantee.
Pre-approval can help define a search range, but it is conditional and time-limited. Final approval still depends on updated circumstances, supporting documents, the property and the lender assessment at that time.
Prepare accurate information so the initial picture is useful. Before a major credit change or new commitment, check with the prospective lender or credit provider how it could affect a future application.
- Current income and employment evidence
- Savings history and deposit source
- Living costs, debts and credit limits
- Identity and residency information
- Likely property type and price range
Use a simple buying sequence.
First clarify the budget and cash plan. Then check government support, understand loan structures that may be relevant and note the conditions attached to any pre-approval. When a property is found, consider the appropriate legal and property checks before committing.
- Set a comfortable repayment and cash range
- Check current first-home support
- Compare loans and prepare documents
- Search within the working range
- Complete contract, property and final finance checks