How much deposit do I need to buy a house in Queensland?

There are two deposit numbers worth knowing, and they answer different questions. The minimum deposit is the least a lender will accept: for most mainstream lenders that's 5% of the purchase price, and a handful will go to 2% or 3% in specific programs. The efficient deposit is 20%, because at that point your loan-to-value ratio (LVR) hits 80% and lenders mortgage insurance disappears entirely.

What each deposit level actually looks like

On a $700,000 Brisbane purchase, 5% is $35,000, 10% is $70,000 and 20% is $140,000. Below 20% you'll pay LMI, and the premium climbs sharply as the deposit shrinks — the jump from a 10% deposit to a 5% deposit costs far more in insurance than the $35,000 you saved in cash. That trade-off is the whole decision: buying sooner at a higher total cost, or waiting and paying less.

The costs on top of the deposit

Your deposit is not your total cash requirement. Budget for transfer (stamp) duty unless a concession removes it, transfer and mortgage registration fees, a building and pest inspection, conveyancing, lender fees, and council and water rates adjustments at settlement. For an established Queensland purchase these commonly add several thousand to well over twenty thousand dollars depending on price and whether duty applies. Ask for a full funds-to-complete figure before you sign anything.

Genuine savings — and when the rule doesn't apply

Where your LVR is above 90%, most lenders want to see at least 5% of the price as “genuine savings”: money you accumulated yourself and held for three months or more, which can include a sustained savings history or, with many lenders, rent you've been paying on a formal lease. A lump sum that landed last week generally doesn't qualify. Below 90% LVR the rule usually falls away, and gifts and inheritances are accepted much more readily.

Ways to buy without 20%

A family guarantor (sometimes called a security guarantee) lets a parent put up equity in their own home so your loan sits at or under 80% and no LMI applies — the guarantee is limited to a set amount and can be released once you've built enough equity. The federal Home Guarantee Scheme allows eligible first home buyers to purchase with a small deposit while the government guarantees the shortfall, so no LMI is charged. A gifted deposit works too, provided it's genuinely a gift and documented as one.

Queensland-specific wrinkles

Transfer duty is where Queensland is genuinely generous to first home buyers: since 1 May 2025 a first home buyer purchasing a new home or vacant land to build on pays no transfer duty, with no price cap. That can free up tens of thousands that would otherwise have gone to the state, which changes the deposit conversation entirely — and it's why building or buying new is worth costing out properly rather than dismissing.

What to do with the number once you have it

Work backwards. Decide the purchase price band you're aiming at, get the funds-to-complete figure for that band, then compare what you have now against what waiting six or twelve months would realistically add. For many Brisbane buyers the honest answer is that the deposit isn't the constraint — borrowing capacity is. Sorting out which of the two is actually holding you back is a 30-minute conversation, and it's free.

The information on this website is general in nature and does not take into account your personal objectives, financial situation or needs. Before acting on any information you should consider whether it is appropriate for you. Terms, conditions, fees, charges and normal lending criteria apply. Rates are subject to change.