Why Owning a Home Still Matters…

And Why It Might Be Easier Than You Think.

Most Australians know that owning your home is important, but what many don’t realise is just how big a difference it makes in the long run.

Recent research shows that the average retiree who owns their home is worth almost $1.7 million. Compare that to retirees who rent, they often have less than $300,000 to their name. That’s a huge gap, and it comes down to one thing: housing wealth.

Put simply, superannuation alone usually isn’t enough to live comfortably in retirement. Owning a home provides security, stability, and a major boost to overall wealth.

Good news for today’s buyers:

The government has just expanded its low deposit scheme. Here’s what that means in practical terms:

• You can now buy a home with just a 5% deposit, and there are no income limits or place restrictions.
• The scheme covers higher-priced properties: up to $1.5m in Sydney, $950k in Melbourne, $1m in Brisbane, and more across the country.
• You can avoid paying lender’s mortgage insurance (LMI), which normally costs tens of thousands of dollars.

To put this into perspective:

• On today’s median home price of $844,000, a 5% deposit is $42,200. Twenty years ago, the same figure would have been a full 20% deposit.
• In Brisbane, a first home buyer could purchase a $1m home with just a $50k deposit, save about $42k in LMI, and start paying off their own mortgage instead of someone else’s.

Why this matters for you – or your kids, friends and family:

If you’re:

• Looking to buy your first home: This is a rare chance to get into the market with a much smaller deposit.
• Helping children into their first home: Your support goes a lot further under this scheme.
• Worried about retirement while renting: We can explore strategies beyond super to help you build security.

A word of caution:

A smaller deposit makes the door to homeownership easier to open, but it also means taking on a larger loan. That’s why it’s essential to have the right financial strategy and income to support your repayments, not just now, but into the future.

Whether you’re helping your kids buy their first home or restructuring your own finances to reduce stress, understanding your options makes all the difference. At Clear Sky, our Lending Specialist,  Sanna Tammilla, together with our licenced Advisers, can guide you through these decisions – from working out borrowing power, to structuring repayments, to making sure your long-term retirement plans stay on track.

Need help crunching the numbers or just want to see what’s possible? Our Loan Calculator is a great place to start. It gives you a quick estimate of your repayments and lets you explore different scenarios. But calculators only tell part of the story.

The bottom line:

The gap between owning and renting in retirement can be more than a million dollars, and today’s government incentives mean it might be easier than ever to buy with just a 5% deposit and no mortgage insurance. If you or someone you care about is thinking of buying, now’s the time to act.

Speak to one of our Advisers or book a free Discovery Call with Sanna Tammilla, our Lending Specialist. We’ll help you understand your options, take advantage of the scheme, and move towards the security of owning your own home. Clarity starts with a conversation, and we’re always happy to help, even if it’s just to confirm you’re on the right track.

👉 Book your no-obligation Discovery Call here. Or call us on 1300 640 899.

Important Information:

Clear Sky Financial Pty Ltd (ABN 36 634 263 148) is a Corporate Authorised Representative No.1299668 of InterPrac Financial Planning Pty Ltd (Australian Financial Services Licence Number 246638). Clear Sky Finance Pty Ltd (ACN 679 620 716) is authorised under Australian Finance Group Ltd ACN 066 385 822, Australian Credit Licence 389087.

The information in this document is true and correct at the time of publication. It is general in nature and does not take into account your objectives, financial situation or needs. Before acting on this information, consider whether it is appropriate to you, and seek personalised advice where required.