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How much do I need for a home loan deposit?

Lenders generally require a deposit of at least 10-20% of the total purchase price. Usually, your deposit will depend on the type of transaction and loan option you choose.

If you are looking at investing or purchasing your own property, you can borrow up to 95% of the purchase price or valuation (whichever is the lesser). If you are looking at purchasing vacant land, you could borrow up to 90% of the purchase price or valuation (whichever is the lesser).

You may need to pay Lenders Mortgage Insurance (LMI) if the loan amounts to more than 80% of the value of the property. This percentage may vary, depending on the type of home loan.

If you intend on borrowing for investment purposes, you will need to demonstrate 20% equity in your existing property or deposit. If you already own a property, you can use equity in that property as a deposit to purchase another property.

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