Low deposit home loans Melbourne
Property finance
Low deposit mortgage broker in Melbourne's west
A low deposit home loan lets you buy with less than a 20% deposit, in some cases from 5% of the property's value, usually with Lenders Mortgage Insurance (LMI) unless you're eligible for a government scheme or use a guarantor. It often suits first home buyers and people finding it hard to save a larger deposit. Attain Loans compares low deposit options across our 70+ lender panel for borrowers across Melbourne's west.
Getting into the property market doesn't always require a 20% deposit. With low deposit home loans, you may be able to purchase your dream home with as little as 5-10% of the property's value saved, subject to lender assessment.
Book a consultationHow to get a low deposit home loan
At Attain Loans we always put your best interests first. We'll help you find a low deposit loan that suits your individual circumstances and requirements, from our lender panel.
In most cases there is no charge to you because the lender pays us a commission, which can vary between lenders. We disclose this before you proceed, and when arranging a home loan we must act in your best interests.
1
Getting to know you
We're flexible to fit in with you. We can do face to face, phone, or video call meetings. We're flexible on times and can do after hours and weekend meetings by request.
2
Pre-approval planning
We review your credit position and prepare all the documentation to ensure your application presents the strongest case possible to lenders.
3
Choosing a lender
We always represent your best interests and consider your needs when recommending a lender. Once we all agree on the most suitable option we will prepare the application paperwork and request supporting documents from you.
4
Purchase support
Once pre-approved, we support your property search by confirming potential purchases meet lender requirements.
5
Settlement coordination
We oversee settlement details, review your loan documents, and ensure all requirements are met. We'll help set up your loan accounts and remain available for ongoing support.
How low deposit home loans work
A low deposit home loan may allow you to borrow up to 95% of the property's value (95% LVR - Loan to Value Ratio), subject to lender criteria. This means you could purchase a $500,000 property with as little as $25,000 deposit, making homeownership more accessible for first-time buyers and those struggling to save a larger deposit in competitive markets.
Book a consultation
Key features of Low deposit home loans
- Minimum deposits typically starting from 5-10% of the property value
- Lenders Mortgage Insurance (LMI) is usually required
- Available for both owner-occupier and investment properties
- Various loan types available (fixed, variable, or split rates)
- Access to government support schemes for eligible buyers (eligibility criteria and caps apply)
Additional costs
When taking out a low deposit home loan, you'll need to consider several costs:
- Lenders Mortgage Insurance (LMI) - typically $8,000-$20,000 depending on your deposit size
- Stamp duty and government charges
- Legal and conveyancing fees
- Loan application and establishment fees
- Potential higher interest rates compared to standard loans
Questions about Low deposit home loans
Get in touch and we will help you with any questions you have about low deposit home loans and advise on the best strategy to suit your situation.
Let us help with your questionsHow does Lenders Mortgage Insurance affect my borrowing capacity?
LMI is typically capitalized into your loan amount, which means you'll be borrowing more overall. This can affect your borrowing capacity as lenders will factor in the higher loan amount when assessing your serviceability. For example, on a $500,000 property with a 5% deposit, LMI could add $15,000-$20,000 to your loan amount.
Can I avoid paying LMI with a low deposit home loan?
There are several ways to avoid LMI with a low deposit: using a guarantor, accessing the First Home Loan Deposit Scheme (eligibility criteria and caps apply), or working in specific professional fields that qualify for LMI waivers (such as medical professionals or legal practitioners).
What's the difference between genuine savings and non-genuine savings for low deposit loans?
Genuine savings typically refer to funds consistently saved over 3-6 months or term deposits. Non-genuine savings include gifts, inheritance, or tax returns. Most lenders require at least 5% of the purchase price to be genuine savings for low deposit loans, though some may accept rent history as evidence of savings capability.
How do different employment types affect low deposit loan applications?
Employment type significantly impacts low deposit loan applications. Full-time employees typically need 3-6 months in their current role. Contractors usually require 6-12 months of contracts, while self-employed borrowers generally need two years of financial records. Some lenders may consider casual workers with 12 months of consistent income.
What property types are restricted for low deposit home loans?
Lenders often restrict property types for high LVR loans. These may include studio apartments under 40m², properties in high-density postcodes, rural properties, or properties in mining towns. Understanding these restrictions is crucial before beginning your property search.
Can I refinance a low deposit home loan once I've built up equity?
Once you've built up sufficient equity (typically 20% or more), you can refinance to potentially access more competitive rates without paying LMI on the new loan. This usually requires waiting 2-3 years and demonstrating good repayment history, and refinancing costs such as discharge and application fees may apply.
How do interest rates compare between low deposit loans and standard mortgages?
Low deposit home loans typically come with interest rates 0.25-0.5% higher than standard mortgages. However, this varies between lenders and can be influenced by your credit score, employment status, and chosen loan features. Rates are indicative only, change frequently and depend on lender criteria. Always check the comparison rate.
What happens if property prices fall with a low deposit loan?
If property prices fall significantly after purchasing with a low deposit, you might enter negative equity (owing more than the property's worth). This can affect your ability to refinance or sell the property, making it important to consider your long-term property ownership plans.
Are there postcode restrictions for low deposit home loans?
Many lenders maintain postcode restrictions for high LVR loans, typically in areas they consider higher risk. These might include mining towns, regional areas, or high-density inner-city suburbs. Maximum LVR might be reduced to 80-90% in these locations.
How does a guarantor arrangement work with low deposit home loans?
A family guarantee can help you avoid LMI and potentially borrow up to 105% of the property value. The guarantor (usually parents) uses their property as additional security for a portion of your loan. The guarantee can typically be removed once you've built up sufficient equity (usually 20%) through repayments or property value increase. Your guarantor takes on risk, as their property may be used to repay the guaranteed portion if you can't meet your repayments.
Can I buy a house with a 5% deposit in Australia?
It may be possible. Some lenders allow you to borrow up to 95% of the property's value, so a 5% deposit could be enough for an eligible borrower, subject to lender assessment. You'll usually pay Lenders Mortgage Insurance (LMI) unless you're eligible for a government scheme (eligibility criteria and caps apply) or use a guarantor. Lenders also generally want to see genuine savings, stable income and a property type and location that meets their criteria.
Are low deposit home loans worth it?
A low deposit loan can help you buy sooner rather than waiting years to save 20%, but it comes with trade-offs. You'll borrow more, so repayments and total interest are higher, you'll usually pay LMI, and interest rates may be higher than for standard loans. A smaller deposit also leaves less buffer if property prices fall. Whether it's worth it depends on your budget, job security and long-term plans, so compare the full cost before deciding.
Can a mortgage broker help with a low deposit home loan?
Yes. Lenders have different rules for high LVR loans, including genuine savings, employment, property type and postcode restrictions, so a broker can help match your situation with suitable lenders. Attain Loans compares options across 70+ lenders and can explain LMI, guarantor arrangements and government schemes. Mortgage brokers must act in your best interests when arranging a home loan (the Best Interests Duty), and our service is generally at no cost to you because we're paid a commission by the lender.
Your full financial situation and requirements need to be considered prior to any offer and acceptance of a loan product. The information contained in this website is of a general nature and does not take in to account your personal needs and requirements.
Low deposit and first home guides
Why choose Attain Loans?
At Attain we specialise in low deposit finance and understand the intricacies of the loan process. We liaise with the lenders and plan for the transition to a standard home loan when suitable. Making sure you get to move into your perfect home as smoothly as possible.
We're family
We are a small family owned, Altona based business that understands your needs at different stages of your life.
We listen
Identifying your goals and finding services and products that meet your needs is our number one job, and we love it!
22 years industry experience
We know the intricacies of the mortgage market and can tailor mortgage solutions for your individual needs.
We have access to the very best lenders
Over 70 of them, including the majors. We're accredited, which means we are fully trained and know all the best options available for you.
Ongoing support
Even when we've found you a great deal we undertake regular reviews to see if we can find you something even better.
We're awesome!
We have an honest, client focused business model and we aim to create long lasting relationships built on trust and respect.
Our happy customers
Financial security gives you choices. It lets you move home, learn new things, travel, or start and grow a business. When you're financially secure, you can focus on what's important. Your family, health, and personal growth.
Owen
Chrystal has been absolutely amazing from start to finish. As a first time home buyer I had little understanding of the whole process and was quite overwhelmed. Chrystal took the time to thoroughly explain all aspects to me and was always available whenever I had any questions and made the whole process much less stressful. I highly recommend her to anyone looking for a mortgage broker.
Danny Simpson
Chrystal was incredible throughout the entire process. She helped me review numerous listings, connected me with a great conveyancer and building inspector, supported me on auction day, and found the best home loan to suit my needs while guiding me through the details. Overall, I highly recommend Attain Loans for going above and beyond!
Macca Playz
Chrystal's outstanding performance throughout the process was truly impressive. Her assistance in reviewing various listings, arranging introductions to a trusted conveyancer and building inspector, providing support, and sourcing a home loan that met my specific needs while offering detailed explanations of the terms, was truly exceptional. I strongly recommend Attain Loans for their outstanding commitment to customer satisfaction and service excellence.
Emma Kirkham
I went to Attain Loans to reduce my mortgage repayments and secure financing for a truck-mounted EWP. Chrystal went above and beyond to ensure I got the best deal possible. She took the stress out of the process and made everything happen smoothly. Thanks to Chrystal, I was able to combine my home and truck loans and even purchase a brand-new car—all while paying much less than I ever imagined. I highly recommend Attain Loans. It’s Chrystal’s personal touch and dedication that make her exceptional at what she does!
Ian Martin
We were introduced to Chrystal and Attain Loans by a mutual colleague and we are very pleased that we were. Chrystal is an absolute finance whizz and a diamond of a lady. She is thorough, professional, patient, 'on your side', and will work her hardest to get the job done for you. We are pleased to have met Chrystal and have her setup our home loan and finances for us, and we will continue to work with Chrystal for any of our finance needs in the future.
Nichie S
Chrystal Evans, Director & Mortgage Broker at Attain was truly a lifesaver. In a stressful time where I needed assistance and some advice, Chrystal was this and more for me. Her knowledge of the banks, packages, fees etc. and advice was excellent, giving me confidence while also making everything really easy. Lastly her follow-up and communications were solid, I would highly recommend Chrystal. Also, after trying to negotiate an interest rate after coming off a fixed rate with my bank, where I was told they couldn't help me and spoke with 3 different people with wait times on the phone, I will not deal with a big bank again and only with Chrystal/Attain.
Cindy Kelly
Chrystal and Attain Loans were instrumental in assisting us to secure our dream home. Chrystal’s professionalism, knowledge and high level skills secured us the best loan for our needs. Chrystal is very thorough and assisted us through the whole process, from finding the best loan to ensuring everything was in line and ready for settlement day. We will definitely utilise Chrystal’s expertise for our next property purchase and highly recommend Chrystal and Attain Loans.
will miller
Chrystal and her team are amazing to deal with extremely helpful and couldn't ask for better service. Chrystal and her team have helped us secure our first home and we have now settled. Chrystal is still working with us through every stage of the project. It's great to know that I had Chrystal on hand anytime I needed direction and advice. Thanks heaps guys from will and Zoe miller
Nikola M.
Chrystal is by far the best broker I’ve met. Not only she found a great rate and conditions, she advised me on how to restructure the loans to get a better return down the road. Definitely recommend her, won’t even think of going elsewhere.
Renee Blake
Chrystal and her team @ Attain Loans are amazing. Chrystal makes the whole process so easy and understandable. She always has her clients needs at the forefront of her mind and does everything possible to help. Not only is she an AMAZING broker with integrity, she is reliable with a client first focus. If I could score her 100 I would. The only broker for me.
Callan Applebee
The best! Highly recommend for those lookong for people that care and honesty in financial requests for mortgae and loan services. From someone who has just begun owning land and building a home, all I can say is that Chrystal and her amazing team have held customers like myself and my wife at the forefront. We are still in the process and this company and its ideals and staff are and continue to be amazing. The trust, confidence and support model they uphold is something that all other institutions should refer to. Thank you Chrystal and your team members for everything thus far. I look forward to our continued relationship and your growth. Thank you.
Vanessa Terekia
I have had the pleasure of working with Chrystal who helped to get my home loan approval. This women went out of her way to help me above and beyond my expectations, I was so ready to give up on a few occasions but she wasn't going to let me and I could not thank her enough for all of her efforts. I am now in my own home thanks to Chrystal and her team, I would always recommend her service, its like no other :).
Skruffy Inc
If it's a no fuss, simple process you're after - then Chrystal is your go to! As a first home buyer I was totally out of my league, everything was foreign. Chrystal quickly established a rapport and from the beginning I felt secure in her expertise and genuine interest to help me realise my goals. Whenever there were things that I wasn't quite sure about, Chrystal jumped in and took the reins without hesitation. When investing in one of the biggest purchases in your lifetime, having someone you trust at the helm is everything! Chrystal is that someone. Her easy going nature coupled with the depth of knowledge, experience and professionalism is second to none! I can't recommend her highly enough. Appreciate your support solution oriented outlook Chrystal. Thank you so much! Whakamānawatia koe, ka tika! Nāku noa Trish Brisbane, QLD
Suzanne McHugh
Chrystal was fantastic, she took the time to help us urgently obtain finance after not getting any help directly from the banks. She was very informative, was able to explain all the details. We would not have been able to have a successful bid without her help.
Luke Applebee
Thanks to the incredibly hard-working team at Attain (Chrystal and Pam) we were able to settle literally days before Christmas last year in our first home. At every step of the home buying journey we were well informed and felt like our interests were always the top priority. It was a stressful time for us to keep up with the paperwork and everything however Attain did a superb job at keeping us on track (and sane). If you have no idea where to begin if you're looking at purchasing a home, I highly recommend giving Attain a call. Excellent customer service and ongoing support. We have recommended Attain to family and friends, too. Absolutely impressive team. Can't thank them enough.
Jessica Joy
I cannot recommend Attain Loan & Mortgage Services enough. As a first home buyer I was nervous with very limited knowledge of how the entire loan process worked. Chrystal made it absolutely seamless and took all of the stress out for me. 12 months on, they assisted me with my first re-finance and again were there for me every step of the way. I couldn't be happier and wouldn't trust anyone else! Thankyou so much! Positive Responsiveness, Quality, Professionalism, Value
Jessica Winter
Chrystal, Pam and the team at Attain loan & morgage services are the best brokers in business. They literally held our hands throughout the whole process of our home loan. And we were not easy customers! They went above and beyond to help us get the best outcome in the process of attaining our first family home. Their attitude, customer service and professionalism was second to none. Couldn't recommend this company more! They literally did all the HARD work for us and made the process stress free :) Thanks Team!! Jessica Winter
Americar Auto
I've been using Attain Loans for years. Each time Chrystal has helped us get the loan through, being a small business can be tricky sometimes but Chrystal never gives up and always gets a result. I would give her a higher score if I could :)
Gary Capeling
My wife and I were in a vendor finance agreement and due to some financial hardship issues brought about by the Covid pandemic not looking like we would ever be able to get ahead. The team at Attain Loans helped steer us in the right direction to be able to finally have a mortgage of our own and also clear up our debts and hopefully repair our credit issues. I would definitely recommend them to anyone looking to just refinance or that is in a similar boat to us! 10 out of 10 for these guys!
Rebecca Smith
Excellent communication throughout entire process. Second time we have obtained finance through Chrystal and would use her again.
Peter Sz
Chrystal and the team from Attain Loan & Mortgage Services, 14 Harrington Square, Altona, VIC, 3018, Were a pleasure to deal with, they provided us with great service and prompt settlement, our circumstances were delicate and they worked though the steps to help us achieve the results desired, We would highly recommend Attain Loan & Mortgage Services for all your home loan needs, Thanks for all your help Peter
Lisa L
I recently bought a new house and usually the process can be quite stressful. Luke made everything run smooth from start to finish and got me a good rate! Highly recommend
Ray Jensen
Got the job done that no one else could!!!!! Very happy customer, thanks for all your all help……