With high property prices it can be confronting for young first home buyers to consider saving the amount needed for a deposit. Have you thought about how you might be able to help?

Equity release - Parental Guarantee

You may be able to use the equity in your home to enable your child to enter into the property market. By doing this you could potentially save thousands of dollars in Lenders Mortgage Insurance (LMI) premiums and by opting to be a guarantor we can limit your liability to an amount that you are comfortable with.

Joint venture

Property co-ownership makes owning a property more affordable as it enables potential buyers to pool their money together for a deposit. This can also make your repayments more affordable.

Providing them a cash gift

‘Non-refundable gifts’ can assist with the deposit and other related buying expenses, like stamp duty.

Childhood savings

By opening a high interest savings account from the moment they are born and adding a few extra dollars weekly, fortnightly or monthly can be a huge help when they need the deposit for their first home. You can use our Savings Calculator to find out how much you can save.


Laura is a first home buyer. Laura has found a property that she wishes to buy for $500,000. She can afford to make repayments on a loan of $500,000 but doesn’t have enough funds for the deposit. Laura’s parents are happy to assist her in entering the property market and have enough equity to lend against their current property. Laura’s parents offer 20% equity in their property which enables the purchase to proceed without the need for Lenders Mortgage Insurance. This results in a huge saving for Laura as Lenders Mortgage Insurance can be an expensive extra.

In this example $100,000 has been secured against her parent’s property. Loan amount required: $520,000 (purchase price + stamp duty and legal fees)

  • Loan 1 for $420,000 secured by the property being purchased
  • Loan 2 for $100,000 secured by the parent’s property

We have lending specialists that can guide you and your family through the process, enquire today.