Melbourne
Deposit planning, first-home buyer guidance and lender comparison for Nepali borrowers across Melbourne and Victoria.
Mortgage Broker Melbourne →Home Loan Deposit · Nepali Buyers Australia
How Much Deposit Do You Need to Buy a House in Australia as a Nepali Buyer?
A 20% deposit is a useful savings target, but it is not the only path to home ownership. Depending on your residency status, lender policy, first-home buyer eligibility and property, you may be able to buy with a smaller deposit. This guide explains how deposits, lenders mortgage insurance, government-backed low-deposit options, gifted family funds and buying costs work for Nepali buyers in Australia.
By Sandeep Sigdel
Founder, Director & Principal Mortgage Broker · Updated August 2026
Quick answer
How much deposit does a Nepali buyer need to buy a home in Australia?
There is no single deposit percentage that applies to every buyer. Moneysmart identifies 20% of the purchase price plus buying costs as a useful savings goal because a 20% deposit can generally help you avoid lenders mortgage insurance. Eligible buyers may also have access to lower-deposit lending or government-backed pathways, including options starting from around 5% for qualifying buyers.
Why 20% is often used as the benchmark
When people talk about the “ideal” house deposit in Australia, they often mean 20% of the property value. The reason is not that Australian law requires every borrower to have 20%. Rather, a 20% deposit generally creates an 80% loan-to-value ratio, which can help avoid lenders mortgage insurance under many standard lending policies.
Moneysmart recommends 20% of the purchase price, plus enough money to cover buying costs, as a good savings goal. That does not mean borrowers with less than 20% are automatically unable to buy.
20% deposit
Often reduces the LVR to 80% and can help avoid LMI under standard lender policies.
10% deposit
May be accepted by some lenders, but LMI or other conditions can apply depending on your profile.
5% deposit
May be possible for eligible buyers under certain lender or government-backed pathways.
Gifted deposit
Family contributions may be acceptable if documented and treated appropriately under lender policy.
Super savings
Eligible first-home buyers may be able to use funds released under the First Home Super Saver scheme.
Guarantor support
Some lenders offer family-guarantee structures, subject to lender criteria and independent legal considerations.
Deposit examples: what 5%, 10% and 20% look like
| Property price | 5% deposit | 10% deposit | 20% deposit |
|---|---|---|---|
| $500,000 | $25,000 | $50,000 | $100,000 |
| $600,000 | $30,000 | $60,000 | $120,000 |
| $700,000 | $35,000 | $70,000 | $140,000 |
| $800,000 | $40,000 | $80,000 | $160,000 |
| $900,000 | $45,000 | $90,000 | $180,000 |
| $1,000,000 | $50,000 | $100,000 | $200,000 |
Important
Your deposit is not your total cash requirement
A buyer purchasing an $800,000 property with an $80,000 deposit may still need additional cash for transfer duty where applicable, conveyancing, building and pest inspections, lender fees, insurance, moving costs and a post-settlement buffer.
Always calculate the total funds required to complete the purchase, not just the percentage deposit.
What is lenders mortgage insurance?
Lenders mortgage insurance, usually called LMI, protects the lender if the borrower defaults and the lender suffers a loss. It does not insure the borrower.
LMI commonly becomes relevant when a borrower needs a high loan-to-value ratio. The exact threshold and premium depend on the lender, loan size and borrower profile. A smaller deposit can therefore allow an earlier purchase but may increase the upfront or financed cost of the loan.
Can you buy with a 5% deposit?
Potentially. Current Moneysmart guidance points eligible buyers to Australian Government low-deposit support that may allow qualifying people to buy with a much smaller deposit while avoiding LMI. Housing Australia also administers government guarantee arrangements for eligible first-home and regional buyers through participating lenders.
A government guarantee is not a cash payment to you and it does not mean automatic home-loan approval. You still need to satisfy the scheme rules and the participating lender’s credit criteria, including income, expenses and serviceability.
Permanent residents may be eligible
Current Housing Australia eligibility information for relevant Home Guarantee Scheme pathways includes Australian citizens and permanent residents, subject to the other scheme criteria, property caps and participating-lender assessment.
Can a temporary visa holder use the same low-deposit schemes?
Do not assume so. Government first-home buyer schemes have their own citizenship and permanent-residency requirements. Temporary visa holders can also face separate foreign-investment restrictions and different lender policies.
If you are on a 482, 485, 491 or another temporary visa, review our 482/485/491 visa home-loan guide and home-loan options for visa holders before relying on a particular deposit strategy.
Can parents or family in Nepal gift your deposit?
Potentially. Gifted deposits are common in many families, including Nepali households where parents contribute savings from Nepal to help children buy a home in Australia.
The lender may ask for a signed gift declaration, bank statements, evidence showing the source of funds and confirmation that the money does not need to be repaid. If the funds are actually a loan from family, disclose that because it may affect your liabilities and servicing.
What about genuine savings?
Some lenders require borrowers at higher LVRs to demonstrate that part of the deposit has been accumulated or held as genuine savings. The definition varies by lender and can include savings held for a required period, eligible term deposits, shares or other accepted sources.
Rent history or other alternatives may be considered by certain lenders in some circumstances. This is an area where lender policy differences can materially affect the options available.
Can first-home buyers use superannuation toward a deposit?
The First Home Super Saver scheme allows eligible first-home buyers to release certain voluntary super contributions and associated earnings toward buying or building their first home.
The ATO currently allows up to $15,000 of eligible contributions from any one financial year and up to $50,000 across all years to count toward the scheme. The amount actually releasable depends on whether contributions were concessional or non-concessional and the ATO’s associated-earnings calculation.
Read our First Home Buyer Guide for the Nepali Community in Australia for a broader explanation of first-home buyer programs and purchase planning.
Is a bigger deposit always better?
A larger deposit generally reduces the amount you need to borrow, lowers the LVR and can improve interest cost and lender choice. However, putting every available dollar into the property can leave the household without an emergency buffer after settlement.
A good deposit strategy balances the upfront contribution against monthly repayments, buying costs, future expenses and retained savings. The biggest deposit is not automatically the best decision if it leaves you financially stretched.
How your residency or visa status can change the deposit conversation
| Buyer type | Deposit considerations | Additional issue |
|---|---|---|
| Australian citizen | Standard lender policies and eligible first-home buyer pathways may be available. | Scheme eligibility and lender criteria still apply. |
| Permanent resident | May access many standard lender policies and relevant government-backed schemes when eligible. | Check each first-home buyer program separately. |
| Temporary visa holder | Some lenders may require a larger deposit or restrict maximum LVR. | Foreign-investment rules can also restrict which residential property may be purchased. |
| Investor | Deposit and LVR policies can differ from owner-occupier lending. | Rental-income assessment and investment strategy also matter. |
SKR Global Finance services for home buyers
Use the service most relevant to your deposit and property strategy.
Home Loan Services → First Home Buyer Assistance → Visa Holder Home Loans → Investment Property Loans → Construction Loans →Home-loan deposit guidance across Australia’s eight capital cities
SKR Global Finance is physically based in Mill Park, Melbourne and supports eligible Nepali borrowers across Australia through phone, video, email and digital mortgage processes. Deposit requirements are lender- and borrower-specific, so the same percentage should not be assumed for every city or buyer.
Sydney
Home-loan deposit assessment for Nepali first-home buyers and families across Sydney and New South Wales.
Mortgage Broker Sydney →Adelaide
First-home buyer deposit and mortgage guidance for eligible Nepali borrowers across Adelaide and South Australia.
Mortgage Broker Adelaide →Canberra
Deposit planning and home-loan guidance for Nepali professionals, migrants and first-home buyers in Canberra.
Mortgage Broker Canberra →Perth
Remote home-loan assessments and deposit planning for eligible Nepali buyers across Perth and Western Australia.
Mortgage Broker Perth →Brisbane
Home-loan deposit, borrowing capacity and lender comparison for Nepali families across Brisbane and Queensland.
Mortgage Broker Brisbane →Darwin
Digital home-loan and first-home buyer guidance for eligible Nepali borrowers across Darwin and the Northern Territory.
Mortgage Broker Darwin →Hobart
Mortgage and deposit-planning support for eligible Nepali first-home buyers and homeowners across Hobart and Tasmania.
Mortgage Broker Hobart →How to work out your real deposit target
- Choose a realistic property-price range. Use your comfortable budget, not only the maximum borrowing estimate.
- Estimate buying costs. Include transfer duty where applicable, legal fees, inspections, lender costs and moving expenses.
- Identify your available funds. Separate genuine savings, gifts, FHSS funds and other accepted sources.
- Check first-home buyer eligibility. Government support may change the deposit or LMI requirement.
- Confirm residency and visa implications. Temporary visa holders can face different lender and property rules.
- Compare lender LVR policies. Do not assume one bank’s minimum deposit represents the whole market.
- Retain a cash buffer. Avoid using every dollar at settlement.
Why use a Nepali-speaking mortgage broker for deposit planning?
Deposit questions become more complex when savings come from several sources, including Australian income, money transferred from Nepal, family gifts, first-home buyer programs or superannuation.
SKR Global Finance can review how your proposed deposit fits with borrowing capacity and lender policy, then compare relevant options across more than 30 lenders and finance partners, subject to accreditation.
Sandeep Sigdel provides mortgage guidance in Nepali, Hindi and English, which can make it easier to explain gifted funds, family contributions, home-loan terminology and the difference between the minimum possible deposit and a financially comfortable deposit.
Sandeep Sigdel
Founder, Director and Principal Mortgage Broker at SKR Global Finance. Sandeep brings more than seven years of combined experience across mortgage lending, bank credit departments and mortgage broking in Australia and overseas.
Frequently asked questions
How much deposit do I need to buy a house in Australia?
There is no single percentage for everyone. A 20% deposit plus buying costs is a useful savings goal because it can generally avoid LMI, while some eligible borrowers may have lower-deposit options.
Can I buy with only a 5% deposit?
Potentially. Eligible home buyers may be able to use a government-backed low-deposit pathway or a lender product that accepts a higher LVR. Scheme eligibility and normal lender credit assessment apply.
What is lenders mortgage insurance?
LMI protects the lender rather than the borrower. It may apply when the lender considers the LVR high, commonly when the borrower contributes less than a 20% deposit.
Can my parents in Nepal gift me a house deposit?
Potentially. The lender may require evidence of the source, a gift declaration and confirmation that the funds do not need to be repaid.
Can I use the First Home Super Saver scheme?
Eligible first-home buyers can release qualifying voluntary super contributions and associated earnings. Current ATO limits allow up to $15,000 of eligible contributions from a financial year and up to $50,000 across all years to count toward the scheme.
Do permanent residents qualify for low-deposit government support?
Permanent residents can satisfy the residency-status criterion for relevant Housing Australia guarantee pathways where all other eligibility rules and participating-lender requirements are met.
Do temporary visa holders need a bigger deposit?
Some lenders apply different maximum LVR or visa policies to temporary residents. The required deposit depends on the visa, lender, property and borrower profile. Foreign-investment rules may also apply.
Does SKR Global Finance help buyers in all Australian capital cities?
Yes. SKR Global Finance is physically based in Mill Park, Melbourne and supports eligible clients across Melbourne, Sydney, Adelaide, Canberra, Perth, Brisbane, Darwin, Hobart and other Australian locations through digital and phone-based mortgage processes.
Related home-loan guides
First Home Buyer Guide for Nepali Australians →
Home Loan Guide for Nepali Migrants →
482/485/491 Visa Home Loans →
Home Loans for Nepali Students →
Choosing a Nepali Mortgage Broker →
Final answer: the right deposit is not always the biggest deposit
For many Nepali buyers, 20% remains a strong savings target because it can reduce the amount borrowed and often avoid LMI. But buyers should not assume they must wait until they have exactly 20%. Depending on eligibility and lender policy, lower-deposit pathways may be available.
The smarter approach is to calculate your total funds required, identify all acceptable deposit sources, check first-home buyer support, compare lender policies and keep enough money aside for life after settlement. Your mortgage should remain manageable after the keys are handed over.
Official sources and further reading
Not Sure How Much Deposit You Need?
Speak with Sandeep Sigdel about your savings, gifted funds, first-home buyer eligibility, borrowing capacity and lender options in Nepali, Hindi or English.
This article provides general information only and does not constitute legal, tax, migration or personal financial advice. Government schemes, lender policies, deposit requirements, property rules and eligibility criteria can change. Credit is subject to lender eligibility, assessment and approval. Sandeep Sigdel is a Credit Representative (CRN 576436), and SKR GLOBAL FINANCE PTY LTD is a Credit Representative (CRN 576435), of Finsure Finance & Insurance Pty Ltd, Australian Credit Licence 384704.