First Home Buyer Timeline
How long does it take to buy a first home, and what happens at each stage?
By Andrew, franklenn FINANCE 7 min readUpdated 3 November 2026
The short answer
Buying a first home usually takes anywhere from a few months to a couple of years, and most of that time is spent saving. Once you have a deposit, pre-approval often takes one to two weeks, house hunting can take weeks or months, and from an accepted offer to settlement is typically 30 to 60 days. Knowing the stages ahead of time helps you avoid delays and last-minute stress.
Detailed explanation
Stage 1: Saving and preparing (months to years)
This is the longest stage for most people. You are building a deposit, covering upfront costs and showing lenders a consistent pattern of saving. It is also the time to tidy up your credit: pay bills on time, reduce credit card limits and avoid taking on new debt.
Check whether you might be eligible for a government scheme. The federal 5% Deposit Scheme was expanded from 1 October 2025, with no income caps and higher property price caps, which may shorten this stage considerably for some buyers. Rules change, so confirm the current details.
Stage 2: Pre-approval (about 1 to 2 weeks)
Once your deposit is close, talk to a broker about pre-approval. We review your income, expenses, debts and savings, compare lenders and submit an application. Turnaround times vary between lenders and can stretch during busy periods.
Pre-approval usually lasts around 90 days. It gives you a realistic price range and lets you make offers or bid at auction with more confidence.
Between pre-approval and settlement, try to keep your finances as steady as possible. Changing jobs, buying a car on finance or opening a new credit card can all mean the lender needs to reassess your application, and in some cases the approval amount can change.
Stage 3: House hunting and making an offer (weeks to months)
This stage depends on the market and how flexible you are on location and property type. Go to open homes, compare recent sales and think about what matters to your household over the next five to ten years, not just today.
When you make an offer on a private sale, ask for a finance clause and a building and pest clause. At auction there is usually no cooling-off period and no finance clause, so your pre-approval and budget need to be solid before you raise your hand.
It helps to agree on your non-negotiables before you start, such as the number of bedrooms, school catchment, commute time and whether you are open to a renovation. A clear brief makes it easier to move quickly when the right place comes up and to walk away from the ones that do not fit.
Stage 4: Contract to formal approval (about 1 to 3 weeks)
Once your offer is accepted and contracts are signed, your conveyancer reviews the contract and your lender orders a valuation. If the valuation and documents check out, the lender issues formal (unconditional) approval and loan documents for you to sign.
Cooling-off periods differ by state. In Queensland it is generally five business days and in NSW it is generally five business days for residential property, but conditions apply, so check with your conveyancer.
If the valuation comes in lower than the purchase price, the lender bases the loan on the lower figure. That can mean you need to find extra cash or, in some cases, pay LMI. It does not happen often, but it is one reason to keep some of your savings in reserve until formal approval comes through.
Stage 5: Settlement and moving in (typically 30 to 60 days after contract)
Settlement is the day the money changes hands and the property becomes yours. Your lender, conveyancer and the seller's representatives handle the transfer, usually electronically. You will do a pre-settlement inspection a few days before to check everything is as agreed.
After settlement, set up your repayments, any offset account and your home insurance, and keep a buffer for the costs that tend to pop up in the first few months.
Worked example
How long to save a $48,700 deposit
Here is an illustrative example of a couple saving for a deposit and upfront costs. Your own numbers will differ, but the approach is the same.
| Savings target (deposit and upfront costs) | $48,700 |
| Amount saved each fortnight | $1,450 |
| Fortnights needed ($48,700 / $1,450) | 33.6, so about 34 |
| Time to save | About 68 weeks (roughly 15 to 16 months) |
| Pre-approval | 1 to 2 weeks |
| Contract to settlement | 30 to 60 days |
From starting to save to getting the keys, this couple is looking at roughly 18 to 20 months, depending on how long they spend house hunting. Increasing savings, or using a scheme that allows a smaller deposit, can bring that forward.
Illustrative only. Figures are examples, not a quote or a recommendation.
Common mistakes
- Starting to look at properties seriously before getting pre-approval
- Letting pre-approval expire during a long search without renewing it
- Changing jobs or taking on new debt between pre-approval and settlement
- Agreeing to a short settlement period without checking your lender can meet it
- Bidding at auction without understanding there is usually no cooling-off period
- Leaving building insurance until settlement day when you may carry risk earlier
Frequently asked questions
Next steps
Talk to franklenn FINANCE
Not sure where you are on the timeline? Book a free discovery call with franklenn FINANCE and we will map out your next steps and realistic timeframes.
This guide is general information only and does not consider your objectives, financial situation or needs. It is not financial, tax or legal advice. Lender policies, rates and government schemes change. Please speak with us, and with your accountant or solicitor where relevant, before acting.
