Saving Solo? You’ll Have Your House Deposit in No Time!

Saving for a house deposit on a single income can feel like an impossible task, but don’t lose hope! There are plenty of benefits to flying solo, and we’re here to tell you exactly what they are.

Being single definitely has its advantages. You can watch whatever you want on TV, the only dirty socks you’re picking up are your own, and if you want to book an impromptu weekend away in the Maldives, who’s to stop you?

Of course, when you’re trying to save for the big things, like a house deposit, two incomes are better than one. Saving a house deposit is the biggest hurdle most people face on the way to home ownership, and when you’re flying solo, it’s even more of a challenge. That doesn’t mean it’s impossible, though. In fact, there are quite a few hidden benefits…

How much deposit do you actually need to buy a home?

When you are buying a home on a single income, understanding deposit expectations early can help you plan with confidence. Your house deposit is the amount you contribute upfront toward the purchase price, and it plays a key role in how lenders assess your home loan application.

In many cases, lenders prefer a deposit of around 20 per cent of the property value. For single income buyers, a larger deposit can significantly strengthen your loan application by reducing the lender’s risk, improving your borrowing power, and helping you avoid lenders mortgage insurance. It can also lead to more manageable mortgage repayments over time.

However, a 20 per cent deposit is not always essential. Many first-time buyers are successfully buying a house with a smaller deposit, particularly when supported by government guarantee schemes. These schemes are designed to help eligible buyers secure a home loan with as little as 5 per cent saved, without needing to pay lenders mortgage insurance. This can make buying a home solo feel far more achievable, especially if you are keen to enter the property market sooner.

The deposit you need will also depend on factors such as the loan amount, your income requirements, existing debts, and the type of property you are looking to buy. Speaking with a lender or mortgage broker can help you better understand what is realistic for your financial situation and whether a single income home loan is the right fit for your goals.

What are the smartest ways to fast-track your savings as a solo buyer?

If you are saving for a house deposit on a single income, small changes can make a meaningful difference. These practical steps can help you save faster and move closer to buying a home.

Simple ways to save on a single income:

• Set a clear deposit target: Knowing how much deposit you need helps you stay focused and track progress.
• Create a dedicated savings account: Keep your house deposit separate so it is easier to manage and harder to dip into.
• Review your spending regularly: Cutting back on non-essential expenses can free up more money to save each month.
• Automate your savings: Setting up automatic transfers helps you save consistently without thinking about it.
• Reduce existing debts: Paying down personal loans or credit cards can improve your borrowing power.
• Boost your income where possible: A pay rise, overtime, or side income can speed up saving for a deposit.
• Use a savings calculator: A deposit calculator can show how small increases add up over time.
• Plan for a realistic timeframe: A steady savings plan can be more effective than trying to save fast and burning out.

How can government schemes and grants help you reach your goal faster?

If you are saving for a house deposit on a single income, government support may help you buy a home sooner. Here are two options many first-time buyers explore in 2025.

First Home Owner Grant (Victoria)

Firstly, there’s the First Home Owner Grant, which offers $10,000 towards the cost of buying or building a new home. However, you can only access it if both you and your partner have never owned property in Australia before. This means that many partnered people will miss out.

First Home Guarantee Scheme

Eligible first home buyers may be able to buy a home with a smaller deposit (often 5 per cent)  through the First Home Guarantee Scheme without paying lenders mortgage insurance, which can improve the affordability of a single income home loan.

Family Home Guarantee Scheme

If you’re a single parent you may be eligible for the Family Home Guarantee scheme. This option allows you to secure a home loan with an even lower deposit of just 2%. You must be a single parent, emphasis on single, with at least one dependent child to apply.

How do you stay motivated and on track when saving solo?

Saving for a house deposit on a single income can feel slow at times, especially when progress depends on one stream of income. Staying motivated often comes down to building habits that keep your goal visible and manageable, rather than focusing on how long the journey might take.

Here are a few simple ways to stay on track when saving solo:

• Break your deposit into milestones: Smaller goals can make saving feel more achievable and rewarding.
• Track your progress visuallyL: Seeing your savings grow can help maintain momentum over time.
• Review your budget regularly: Small adjustments can help you stay consistent without feeling restricted.
• Celebrate progress, not perfection: Steady saving matters more than hitting every target exactly.
• Revisit your ‘why’: Keeping your homeownership goal front of mind can help during slower months.

It’s often more about consistency than pace. By tracking progress and adjusting your plan as your financial situation changes, you can stay focused without feeling overwhelmed. Over time, these habits can significantly strengthen your savings position and help you move closer to buying a home with confidence, even when saving solo.

Ready to take the next step toward your first home?

Saving for a house deposit on a single income can feel complex, but having the right guidance can make the path forward clearer. Carlisle Homes provides guidance on low-deposit pathways for solo buyers, helping first home buyers understand their options, explore government support, and take confident steps toward homeownership.

With the right information and support, buying a home solo can feel far more achievable. Reach out to us to explore your Home Guarantee Scheme options.