04/09/2026
How much deposit do you actually need to buy a house?
I get this question all the time from our Bhutanese first home buyers.
A lot of people think they need 20% deposit before they can even start looking.
That's not always the case.
For example, if you're eligible for the Home Guarantee Scheme, you could potentially buy with as little as 5% deposit and avoid LMI.
So if you're looking at an $850,000 property in Perth:
5% deposit = $42,500
But remember, you still need money for the other buying costs such as stamp duty, settlement and legal fees.
So in reality, you're looking at around $81,500 all up for an $850k purchase in WA, depending on your individual costs.
And if you have more than 5% saved, there are other options too.
For example, we have lenders that can potentially allow eligible borrowers to go up to 90% LVR without LMI.
The important thing is that you don't necessarily need to wait until you've saved 20%.
I've had quite a few Bhutanese clients who thought they were still years away from buying, only to find out that they were actually much closer than they thought.
Obviously, having the deposit is only one part of getting a home loan. We also need to look at your income, expenses, debts, credit history and how much the bank is willing to lend.
So if you're Bhutanese and thinking about buying your first home in Perth, don't just assume you need 20% deposit.
Give me a call and let's have a look at your situation.
