29 Feb 2024
Mortgage House Wins Best Low Deposit Loan of the Year – 2024
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Most lenders expect a deposit of at least 10-20%. However, it is possible to get a mortgage with only a 5% deposit. In addition, various mortgage lenders may be able to offer you a mortgage even with a smaller deposit, allowing you to buy a home sooner than you would otherwise. These mortgages, known as 95 percent LVR home loans, require you to pay more in lenders mortgage insurance and may have higher interest rates.Â
Not all lenders offer 95% LVR mortgages because they are higher risk. Those who offer them may charge higher interest rates, a higher LMI, and have more strict lending guidelines. Traditional lenders, such as banks, and non-traditional lenders, such as non-bank lenders like Mortgage House, offer 95% mortgages. You can see what lenders are currently offering these mortgages and compare their rates using an online rate comparison tool.Â
As with any home loan, 95% Mortgages have benefits and risks. Some benefits include:
Some risks include:
Saving for a 20% deposit can be challenging, especially as housing prices in Australia continue to rise. At Mortgage House, we can help you find a 95% home loan with competitive interest rates and beneficial features.Â