The sweet spot
No lenders mortgage insurance, the widest choice of lenders, and the strongest position to negotiate from. If you are within a few thousand dollars of 80%, it is usually worth closing the gap before you apply.
Tool 08 · Deposits & buying costs
LVR calculator
Your loan-to-value ratio is the share of the property you are borrowing. It decides whether lenders mortgage insurance applies, how many lenders will consider you, and how sharp a rate you are in a position to ask for.
Helps you work out: your loan-to-value ratio, whether lenders mortgage insurance applies, and the deposit that avoids it.
My deposit & property
Your LVR
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Equity / Deposit
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Extra Needed for 80% LVR
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Under a 20% deposit? First-home buyers and borrowers with a family guarantor often have other ways in — contact us to find out more.
General advice warning
The results provided by this calculator are estimates only and should not be taken as personal financial advice. The calculations are based on the assumptions you have entered and do not take into account your personal objectives, financial situation or needs. Before making any financial decisions, we recommend you consult with a qualified financial adviser. Financial Elements PTY LTD (Corporate Credit Representative Number 499510) is an Authorised Corporate Credit Representative of BLSSA Pty Ltd (Australian Credit Licence 391237).
Reading your result
What your LVR means
Lenders price risk in LVR bands. The same loan can cost meaningfully more — or require lenders mortgage insurance — depending on which side of these lines you land.
Workable, with a cost
Most lenders will still lend, but lenders mortgage insurance applies and is generally either paid upfront or added to the loan. Some lenders waive it for borrowers in particular professions, so it is a question worth asking rather than assuming.
Options narrow
Fewer lenders participate, pricing is less generous, and LMI rises steeply. This is where government guarantee schemes and family guarantees earn their keep — either can get you in without waiting years for a larger deposit.
Method & assumptions
How this calculator works
The loan amount divided by the property value, expressed as a percentage. Borrowing $640,000 against an $800,000 property is an LVR of 80%. The value that counts is the lender's valuation, which can come in below the price you agreed to pay.
Below it, lenders will generally carry the loan without insurance. Above it, they require lenders mortgage insurance — which protects the lender against your default, not you, and is charged to you.
Twenty per cent of the property value, plus enough for stamp duty and the other purchase costs. It is the costs that catch people out: the deposit on its own rarely gets you to 80%.
Some lenders will, and eligible buyers can go higher again under government guarantee schemes, which are capped and change over time. A family guarantee is the other route, and can bring the effective LVR under 80% without a large cash deposit.
No. Premiums vary by insurer, lender, loan size and LVR, so quoting a figure would mislead more than it helps. The calculator tells you whether LMI is likely to apply; we can price it properly across lenders.
Keep going
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Ready when you are
Sitting just over 80%?
There is usually a way under it — an LMI waiver, a guarantee, a second valuation or a slightly different structure. Fifteen minutes will tell you which applies to you.