Aussies 'need to build up a home loan deposit'

Tuesday 22 March 2011

Article by Mozo

People searching for no-deposit finance to purchase a property need to save up money and compare home loans covering 95 per cent of the cost, it has been claimed.

Aussies looking for home loans 'need a five per cent deposit'

Dean Rushton, chief operating officer of Loan Market, told the AAP that many Aussies are searching for ways to borrow the whole amount when purchasing a home.

However, he warned that these deals are impossible to find and that prospective buyers need to save at least five per cent before they compare home loans.

"People are just going to have to work on building up their home loan deposit," he stated.

The expert added that this is because lending restrictions tend to require "genuine savings contributions".

Earlier this month, executive chairman of wealth management firm Yellow Brick Road Mark Bouris told News.com.au that older Aussies might consider helping the younger generation with a lump sum to put down as a deposit on their first home.

Have a question about home loans? Ask the money gurus at Mozo AnswersADNFCR-1761-ID-800471693-ADNFCR

Find great home loan deals

Which type of home loan would you like to compare?

Back to top