How to meet the 90-day genuine savings requirement for your first home

 If you’re ready to buy your first home with the 5% Deposit Scheme, you might find the genuine savings criteria a tricky step. You need to show you’ve saved at least 5% of your home’s price consistently over 90 days — and that’s about more than just numbers.

The 90-day genuine savings requirement is proof that you’re financially prepared and serious about taking this next big step.

What exactly is the genuine savings requirement?

The genuine savings rule ensures that buyers are financially prepared to take on a mortgage. When applying under the 5% Deposit Scheme, you must demonstrate that, over the 90 days before your loan application, you have consistently built up savings equal to 5% of the property price.

For example, if you’re looking at a $600,000 home, this means having at least $30,000 in verified savings.

This proof gives lenders and the government confidence that you can responsibly manage your finances and aren’t relying solely on quick loans or gifts for your deposit.

Why this requirement really matters

Meeting the genuine savings requirement is more than a formality. It shows lenders you’re financially responsible and prepared to make home ownership sustainable. For first home buyers, this also unlocks access to the government-backed 5% Deposit Scheme, which reduces the amount you need to save upfront and speeds up your home-buying journey.

What qualifies as genuine savings?

Not all money in your accounts can be counted as genuine savings, but these typically do:

• Regular salary deposits made consistently over a 90-day period
• Money saved in various bank accounts, including savings, transaction, or term deposits
• Contributions to superannuation funds, depending on lender rules
• Money from assets sold, provided it remains in your account for the required time
• Small or large gifts from family, if held in your account for at least 90 days and properly documented

It’s important to keep funds intact in your accounts during the 90 days to show a steady saving pattern.

What doesn’t count as genuine savings?

Funds that won’t count include:

• Borrowed money, such as personal loans or overdraft amounts
• Cash windfalls like tax returns or bonuses unless they are held in your account consistently for 90 days
• Large gifts received within 90 days before buying, unless properly documented and accepted by your lender
• Transferring money within your own accounts without adding fresh savings

Six tips to build your genuine savings well

To meet the 90-day requirement, consider these practical tips:

1. Open a dedicated savings account for your home deposit; this helps you separate your genuine savings from everyday spending.
2. Automate regular transfers from your pay or main account into your deposit savings account to build a consistent track record.
3. Avoid large withdrawals during the 90-day period to maintain a clear savings history.
4. Hold your savings steadily in your account; lenders want to see consistent saving behaviour, not sudden lumps.
5. Plan your spending carefully by budgeting to cut back on non-essential expenses temporarily.
6. Check with your lender early on about their definition of genuine savings and required documentation so you stay compliant.

Meeting the genuine savings requirement might feel tough, but it’s a key step to moving into your new home. Keep saving steadily, stay focused, and you’ll get there. Your first home is closer than you think.

For more information on genuine savings and how the 5% Deposit Scheme can work for you, check out The Talk website.

Disclaimer: The contents in this article including prices, all government incentives, grants, and schemes are subject to eligibility criteria, availability, and may change or be withdrawn at any time. All property purchases are subject to terms, conditions and eligibility requirements. Purchasers must make and rely on their own enquiries and seek independent professional advice before making any financial decisions. Please refer to relevant government sources for the most current information. Government grants, incentives and eligibility criteria are determined by relevant Federal and State authorities and are subject to change.

For further information, please refer to:

• Australian Government 5% Deposit Scheme details
• First Home Owner Grant eligibility