If you dream of building your first home but are unsure whether you’ve saved enough, you’re not alone. One of the most common questions we hear is, “How much deposit do you need to build a house?” Well, that depends, but the good news is we’re here to help make it achievable, even if you don’t have a lot of savings set aside.

Low-deposit home loans, government grants and flexible finance options are designed to support first-home buyers, even those who might think home ownership is out of reach.

In this article, we’ll break it all down in simple terms, including what a house and land package deposit actually covers, how much you might need, and how Easystart can guide you every step of the way. Let’s take the stress out of the numbers and bring your home ownership goal one step closer.

 

What is a house and land package deposit?

When you buy a house and land package, your deposit is the initial amount of money you put towards the overall cost, just like when you buy an existing home. However, with a house and land package, your deposit usually covers two parts: the land purchase and the building contract.

Here’s how your deposit works in simple terms:

• Land deposit: This is paid to secure your block of land. It’s usually due when you sign the land sale contract.
• Build deposit: This goes towards your building contract and is typically needed before construction begins.

Together, these make up your deposit for a house and land package.

 

First-home buyers, how much deposit do you need?

One of the biggest questions we hear is, “How much deposit do I need for a first-home buyer loan?” The answer depends on a few factors, including your lender, your financial situation, and whether you’re eligible for government assistance.

Banks and most lenders will tell you you’ll need a minimum 20% deposit. Some will accept lower deposits of 5% or 10% but then require you to pay lenders mortgage insurance (LMI). 

At Easystart, we understand that saving a large deposit while renting or juggling everyday expenses can be tough. That’s why our in-house finance team is here to help you explore low-deposit home loans, government-backed schemes, and even guarantor loan options that could help you avoid LMI and get you into your first home sooner.

We’ll look at your full financial picture and recommend a solution that fits your situation. And if you haven’t saved quite enough yet, we’ll work with you on a plan to get there.

 

What about other expenses?

In addition to your deposit for a house and land package, there are a few upfront costs to factor into your budget, including:

• settlement and legal fees
• lenders mortgage insurance (if applicable)
• loan application fees
• optional upgrades or custom features — many of these can be included in your finance, but it’s a good idea to set aside an allowance for any extras that may need to be paid for upfront.

That’s why it’s a good idea to have a small safety net to help cover any unexpected costs and give you more confidence as you move through the building process.

The good news is that Easystart includes many features as standard in our home designs so that you won’t be hit with surprise upgrade costs later. And if you’re unsure how much to aim for, our finance team can help you map out exactly what you’ll need based on your situation.

Get in touch if you have any questions about the cost of building a home, finance and interest rates, or your borrowing power. We can help. 

 

Can grants help with your deposit?

Let’s talk about government grants because these can make a big difference in how much deposit first-home buyers need.

The First Home Owner Grant (FHOG) currently offers eligible buyers a $10,000 boost towards building a new home. Depending on your lender, this grant can be put towards your deposit, reducing the amount you need to save upfront.

You may also be eligible for stamp duty concessions, which can save you thousands more in upfront costs. These grants and concessions can make a real difference, especially when combined with a low-deposit home loan.

To find out what you could be eligible for, get in touch. We’ll walk you through your options, explain everything in plain language, and help you make the most of what’s available to you.

 

 

Ready to take the next step?

Saving for a house and land package deposit might feel daunting, but with the right guidance, it’s more achievable than you think. Whether you’re just starting to save or unsure if you’ve got enough, Easystart is here to help.

Our in-house finance team, Westgate Finance, can help you explore low-deposit loans, grants and custom plans to get you into your first home sooner.