I hope you are not in nsw, because that's going to be axed.I dont remember how much we had saved because it was too long ago 10% maybe
Im in WA - so hopefully they dont cut it!
We were lucky in that my DH grandfather left him $25,000 in his will, that was only allowed to be used as a house deposit. We were also fortunate that when we bought, the first home owners grant was double. We built so got another $25,000 from the government so in total we had $50,000. Overall we contributed 10% plus fees and left some money over to finish the home.
I work as a home finance manager. I'm pretty sure that no lenders do 100% lending anymore, unless you have a parent guarantor, so the minimum deposit is 5% plus fees and charges. Your deposit needs to be genuinely saved over generally 3 months and has to realistic to your income. So lump sums from tax returns wont count, unless it is held for 3 months. The fees and charges you'll come across are government fees, ie stamp duty (not applicable in every state, I believe first home buyers buying in NSW, QLD and WA are exempt from stamp duty) and registration and transfer fees. You will also have lenders mortgage insurance to pay as well.
The first home buyers grant can be used towards your deposit, but you still need to show 5% genuine savings. Some banks allow (the one I work for allows this) rental payments to be used to verify genuine savings. So if you rent through a property manager and have been there for at least a year, that rent can be your genuine savings and you can then just use you first home grant as deposit.
Thanks heaps for the info! Was very helpful!
We dont plan to buy for atleast another 3 years probably but all the info is helpful in getting an idea of savings goals smile
My partner has a personal loan from before we were together and an almost maxed credit card gasp
that we plan to pay off in the next 12 months (both of them) and then the money that we would normally be putting towards these debts we plan to then save. Along with any lump sums we gain such as tax returns etc.
One thing we were thinking about doing was not claiming the family tax benefit in installments but instead claiming it as a lump sum to be put into savings (Im not sure how much it would even be to be honest - Im not great with working out centrelink stuff!) The way we see it is we woudnt normally have this money so what we dont know we wont miss!
Our bubba #1 will be arriving soon and I am entitled to the governments paid maternity leave so we will be using much of this to pay off debts and get on top of our finances.
Ive been learning to be quite thrifty in regards to meal planning and trying to cut costs where we can so hopefully this can continue after bubs arrives! I also plan on using cloth to save money on disposables and hopefully breastfeeding for as long as possible to not have to fork out money for formula.
So hopefully we can get ontop of things and begin saving for our little families first home - its a big goal of both of ours smile
We're both sooo tired of throwing money into someone elses pocket (rent) and just want to know that this money is actually being used to pay off our own home! smile