In years gone by, most people saved up a deposit, bought their family home and continued to live there while they raised their families. ‘Rentvesting’ is when you rent where you want to live but buy a property where you can afford to.

For the most part, the high-demand, inner-city and fringe locations of most capital cities are not only expensive but entail high mortgage repayments. To rent in those types of locations is normally far more affordable than to buy. By purchasing a property in a location that you can actually afford, you can work within your budget and borrowing limits and feel confident that you’re not getting left behind. Think outside the box of where you could invest in property. It may be regional, suburban or even interstate. Get good advice and be sure to do your own research, too.

As mentioned, the days of a home for life are largely behind us. These days, we see many people climbing the property ladder gradually.

Start by purchasing a home that you can afford and take advantage of many of the first homeowner grants and stamp duty exemptions that are on offer.

Consider purchasing a lower-priced home and add value through renovations, and then sell it and upgrade. Be sure to get good advice on what renovations can be done to ensure you are not overcapitalising on your investment.

Then, when the time is right, look to upgrade again and continue the cycle.

One of the most effective ways to get on the property ladder for first home buyers is to have a partner or close family member act as a guarantor.

If you’re struggling to come up with a deposit for a home, a guarantor loan will allow you to use the equity in someone else’s property as the deposit to buy your home. This means that you could potentially buy a home with a very high LVR (loan to value ratio), where it wouldn’t be otherwise possible.

If you are really wanting to buy a property but just can’t do it yourself, it is certainly possible to team up with someone else to get started. Shared ownership is usually a better fit for investors than owner-occupiers, but anything is possible.

Before going down the path of shared ownership, it’s vital that you write down just how the arrangement is going to work in terms of how the costs will be managed and what the overall plan for the property is. It’s well worth seeking legal advice prior to jumping in with someone else as people’s circumstances can change.