The situation
A first home buyer in Melbourne wanted a place under $600,000. He had a 5% deposit, not 20%, and the whole process felt overwhelming. He didn’t know what came first, who all the people involved were, or what he was supposed to be doing at each stage.
The challenge
Two things were holding him back. The deposit looked too small, and the process looked too complicated to start.
What we did
- Walked him through the buying process step by step, from pre-approval to settlement, and who does what along the way
- Applied through the government’s Home Guarantee Scheme, which lets eligible first home buyers buy with a 5% deposit without paying lenders mortgage insurance
- Checked his eligibility for the Victorian first home buyer stamp duty exemption on homes under $600,000
- Got his pre-approval in place before he started making offers, and kept him updated at every stage
The result
He bought his first home within 2 months of our first meeting. He paid no lenders mortgage insurance. On a 95% loan of that size, LMI would have been around $20,000.
“It wasn’t just about securing a loan, Karan guided me through the entire process, making sure I felt confident and informed along the way.”
What this means for you
You may not need a 20% deposit to buy your first home. Government schemes have eligibility rules and limits, so check where you stand before you rule yourself out. If this sounds like your situation, book a free 15 minute call.
Names and some details have been changed to protect the client’s privacy. Every situation is different, and your result will depend on your own circumstances and the lender’s assessment. General information only, not credit, financial or legal advice. Sklupple Pty Ltd (ACN 676 755 990) trading as KK Talks Finance is a Credit Representative (CR No. 569266) of Australian Finance Group Ltd (ACL 389087).