Finance & Fury Podcast

Today’s Say What Wednesday question comes from Emma, and relates to saving for a house deposit:  “Hi, thanks so much for the podcasts - I have learnt so much. My question is about saving for a house deposit in Sydney. We have $130,000 saved (which has taken us about five years to save) however we met with a broker and she recommended avoiding LMI by saving up the full 20% of the purchase price plus 4.50% for stamp duty etc. As we have two children we’d like to buy a modest townhouse which are currently valued at around $850,000. Basically, at our current renting while saving rate this would take us five years or so. Do you recommend using ETFs, LICs in this saving circumstance or using the first home super saver scheme or term deposits etc? I’d love to hear any ideas you have to help us save, stay motivated and finally buy something!”   Thanks Emma!  Here’s what we think...   Option 1 – Staying away from risky investments – (5-year period) Given that you want to purchase a place in 5 years, I would probabl