When buying a house, some lenders will accept a deposit for as little as 5 percent (5%), and some will require a 5 to 10 percent deposit for a home or investment loan, depending upon the property location and price of the property. However, sometimes a deposit of less than 20 percent may mean, additional lenders loan insurance or Lenders Mortgage Insurance Premium (LMI) will be required. An example where the lender may not require a deposit for a home loan purchase is where you have enough equity in another property where you can use this available equity within the property towards the new property purchase.
Alternatively, you may not have the full 5 percent deposit saved to meet the lenders Genuine Savings Policy due to a high weekly rental payment which these historical rental payments can be acceptable by several lenders as a means to show 5 percent genuine savings requirements as long as you can find the balance of the required 5 percent deposit plus approximately another 1 to 3 percent to cover any additional costs, government cost, legal and lender costs.