Genuine Savings
The amount and source of your savings are important considerations for the banks in assessing what they can lend, especially for First Home Buyers. You may have heard the term "Genuine Savings" used when discussing the subject of deposits. This is expressed as a percentage of the property purchase price (eg; 5% genuine savings) . In general, Genuine Savings will refer to savings accumulated over a 6 month period and can include cash deposits, shares, term deposits, unpreserved super and other investments.

Savings & LMI
The requirement for genuine savings becomes particularly important when proposed borrowings exceed 80% of the purchase price, when Lenders Mortgage Insurance (LMI) is applied to the loan. In some cases lenders will accommodate non genuine savings above 80%, please talk to our mortgage advisors to establish whether this applies in your situation.

Savings & Gifts
In some cases lenders will accommodate non genuine savings above 80%, please talk to our mortgage advisors to establish whether this applies in your situation.

Savings & FHOGS
Whilst the First Home Owners grant can be used towards your purchase, please note that it will not be considered as "genuine savings" by most lenders.