Home > Loans > Home loans > Your first home > Planning the purchase > How much can you borrow?

The biggest obstacle to buying a property is often getting the deposit together. If you don’t yet have a deposit, here are a couple of ways we may be able to help you buy your home.

Use our borrowing calculator to see how much you can borrow.


First home buyers

With Teachers Mutual Bank’s My First Home Loan you can purchase your first home sooner without the pressure of saving a 15-20% deposit. Depending on your location you can borrow up to 98% of the entire purchase price of the property with the assistance of Lenders Mortgage Insurance.

You do however need to save some money. While you may be able to borrow the full purchase price of the property, you will need to have extra funds for upfront costs including legal costs and the Lenders Mortgage Insurance premium. Rule of thumb is that you should have approximately 5% of the purchase price of the home.

Don’t stress though, the good news is that you can also use your First Home Owners Grant towards your upfront costs.


Buying another property or upgrading into a new property

If you are buying another property and are retaining your current property, you may be able to use the equity in your first property as security.

Or alternatively, if you are selling one property and buying another, chances are all your money is tied up in your original property and won’t be released until its sale is finalised - and for most of us this may be too late to secure your new property. Luckily we can help: you may be able to use the equity in your first property as security.

You can access the equity a number of ways:

  1. Deposit power guarantee 
  2. Redraw payments in advance 
  3. Top-up loan 

If in doubt, talk to one of our specialised loans staff on 13 12 21.

Deposit Power Guarantee

Need to save some more?

Cheaper than a bridging loan, with applications usually processed within 24 hours.

Open a high interest Online Savings account and watch your deposit grow quicker.

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