Deposit Plus Stamp Duty: Your Total Funds at Settlement
Published 31 May 2026
The short answer
Your total funds at settlement are your deposit + stamp (transfer) duty + LMI (if any) + government registration fees + conveyancing/legal costs, minus any first-home-buyer concessions and grants. As a rough rule of thumb in Australia, a non-first-home buyer should budget the deposit plus roughly 5-6% of the purchase price for these added costs. Stamp duty alone can swing that figure by tens of thousands depending on your state and whether you qualify for an exemption.
How the total is built up
The "deposit" you save is only one piece. The cash you actually need to hand over at settlement is the sum of several items, each calculated separately:
- Deposit: the portion of the price you're not borrowing. A 20% deposit avoids Lenders Mortgage Insurance; smaller deposits are allowed but usually trigger LMI.
- Stamp / transfer duty: a state tax on the property transfer, calculated on a sliding scale. It varies by state/territory and is often the single largest upfront cost. First-home buyers may get a full or partial exemption (see first-home-buyer stamp duty by state).
- LMI: a one-off insurance premium charged when your deposit is under 20% (loan-to-value ratio above 80%). It's a percentage of the loan that climbs as your LVR rises, and it can sometimes be capitalised (added to the loan) rather than paid in cash. See how much LMI costs on a $600k loan.
- Government registration / transfer fees: fixed fees to register the mortgage and the transfer of title.
- Conveyancing / legal: your solicitor or conveyancer's fee, typically $1,000-$2,500.
Concessions and assistance schemes reduce the cash you need. Two big ones: the First Home Guarantee lets eligible first home buyers purchase with as little as a 5% deposit and no LMI, with the government guaranteeing the gap to 20% (Housing Australia). And the First Home Super Saver Scheme (FHSS) lets you withdraw eligible voluntary super contributions toward your deposit, up to a $50,000 lifetime cap (max $15,000 per year), plus deemed earnings (ATO).
Worked example: $800,000 home in NSW
Imagine an $800,000 home in NSW with a 20% deposit (so no LMI).
| Item | Non-first-home buyer | First-home buyer (FHBAS) |
|---|---|---|
| Deposit (20%) | $160,000 | $160,000 |
| Stamp duty | $30,412 | $0 (exempt ≤ $800k) |
| Registration fees | ~$340 | ~$340 |
| Conveyancing | ~$1,800 | ~$1,800 |
| Total funds at settlement | ~$192,552 | ~$162,140 |
The stamp duty is checkable. NSW transfer duty over $372,000 is $11,152 + $4.50 per $100 over $372,000. For $800,000 that's $11,152 + (($800,000 − $372,000) ÷ 100 × $4.50) = $11,152 + $19,260 = $30,412 (Revenue NSW). A first-home buyer purchasing a home valued up to $800,000 in NSW pays no transfer duty under the First Home Buyers Assistance Scheme (Revenue NSW FHBAS), saving over $30,000 in cash here.
Now a smaller-deposit case: a $600,000 loan at 90% LVR (10% deposit) would attract LMI of roughly 1.79%, about $10,740. You could pay that in cash on top of your funds, or capitalise it into the loan. On the same $600k loan at 6% over 30 years, the monthly repayment is about $3,597.
Model this in True Loan
True Loan computes every line above for all 8 states and territories, including first-home-buyer concessions, an LMI estimate, registration fees, conveyancing and the total funds required at settlement, all client-side, no login.
To model your own number:
- Set the property price and your deposit (or the loan amount).
- Choose your state/territory and tick the first-home-buyer option if it applies, and duty and concessions recalculate instantly.
- Check the LMI estimate: it's zero at ≤ 80% LVR and rises with LVR. Toggle whether to capitalise it into the loan or pay it in cash.
- Read off total funds required at settlement.
Want to weigh a 20%-deposit (no LMI) purchase against a 10%-deposit one? Set up both on the comparison tool and see the cash-at-settlement and repayment difference side by side. If you're planning to park savings in an offset account, use the dedicated Offset balance input; if you'll make extra repayments, use the separate Extra repayment ($/month) input, because they model different things.
Common questions and mistakes
Is stamp duty part of my deposit? No. Stamp duty is an extra cost on top of your deposit. Budgeting only for the deposit is the most common shortfall at settlement.
Can I borrow to cover stamp duty? Generally lenders expect stamp duty and upfront costs to come from your own funds, not the loan. LMI is the main cost that can sometimes be capitalised.
Does a 5% deposit mean less total cash? Under the First Home Guarantee you skip LMI, but you still pay stamp duty (unless exempt), registration and conveyancing, so budget for those.
How much deposit do I really need? That depends on price, state and scheme eligibility (see how much deposit you need).
These figures are estimates for the 2025-26 financial year and general information only, not financial or credit advice. Always confirm current rates and eligibility with your state revenue office, the ATO, moneysmart.gov.au and Housing Australia.
This guide is general information and estimates only — not financial or credit advice. Figures vary by lender and circumstances; always confirm with official sources.