First-Home Buyers Reaching Deposit Goals Faster—Here’s Why That Matters in 2025
A silver lining in today’s property market
Amid rising interest rates and inflation headlines, there’s some positive news for aspiring homeowners: first-home buyers are reaching their 20% deposit goals faster than they were just a couple of years ago.
That’s according to the 2023 Domain First Home Buyer Report, which shows that Aussies aged 25–34 are shaving months off their saving timelines—even after a year of cash rate hikes.
State-by-state breakdown: who’s winning?
Here’s how long it now takes (on average) to save a 20% deposit in each capital city, and how much time that represents in savings since April 2022:
| City | New Deposit Timeline | Time Saved Since 2022 |
|---|---|---|
| Sydney | 6 years, 8 months | ↓ 17 months |
| Brisbane | 4 years | ↓ 14 months |
| Canberra | 6 years | ↓ 14 months |
| Melbourne | 5 years, 7 months | ↓ 11 months |
| Darwin | 3 years, 6 months | ↓ 11 months |
| Hobart | 5 years, 8 months | ↓ 5 months |
| Perth | 3 years, 7 months | ↓ 2 months |
| Adelaide | 4 years, 9 months | ↓ 1 month |
Why are deposits more achievable now?
Several key factors are helping buyers hit their savings goals sooner:
- Falling home prices: According to CoreLogic, national home values dropped by 8.40% in 2022. A smaller price tag means a smaller deposit.
- Rising interest on savings accounts: Rate hikes have boosted returns on savings, helping diligent savers get there faster.
- Wage growth: The ABS reports wage increases across both private and public sectors.
- Low unemployment: With the job market stable at 3.5%, consistent income is helping many buyers stay on track.
But… challenges remain
Let’s keep it real: even with shorter timelines, saving a 20% deposit is still a hurdle. Why?
- High cost of living: Groceries, utilities, rent—it all adds up.
- Interest rate rises: While good for savers, they’ve reduced borrowing capacity and made loan serviceability tougher.
- Market stabilisation: After the dip, CoreLogic now reports property values are starting to level off.
If you’re struggling to close the gap, we can help with that.
Maximise savings with government incentives
Government schemes like the First Home Guarantee can cut years off your saving timeline.
How it works
- You could buy with as little as 5% deposit
- Skip expensive Lenders Mortgage Insurance (LMI)
- Available to eligible applicants only—and spots fill fast
Want to check your eligibility? At CBM Mortgages, we help first-home buyers secure a spot and take advantage of all possible government incentives, including state-specific grants and concessions.
Now’s the time—get in touch before the July intake opens.
Ready to start your buying journey?
Saving your deposit is just the first step. At CBM Mortgages, we’ll guide you through:
- Understanding your borrowing power
- Comparing loan options across major lenders
- Fast-tracking your application with the right incentives and support
Start by exploring our home loan calculators, or let’s set up a chat to map out your path to homeownership.
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Disclaimer: This article is general in nature and does not constitute financial or legal advice. For personalised guidance, speak with a qualified professional.
Written by Craig McDonald 16/06/2025
