The standard deposit required for a home loan is 20% of the purchase price of the property you’re hoping to buy if you wish to avoid paying Lenders Mortgage Insurance (LMI). This is an insurance premium which the borrower pays to protect the lender in case of loan default.  It’s based on the size of the loan and can amount to thousands of dollars.  Bad credit home loans can be up to 95% of the value of the home to be bought, meaning you’ll only need to find the remaining 5% as a deposit in many cases.  The higher the deposit you’re able to provide, the lower the interest rate you’re likely to be offered.