Firstly, congratulations on building up a deposit. In this economy? Girl, gold stars all round.

As always, I can't provide personal financial advice, but generally speaking, if you're looking to buy within the next 12 months, I'd be prioritising keeping my moolah safe over chasing higher returns.

Safe from who? Great question. Either from the shock waves that can rumble into investment markets after big world events... but there's also the question to consider if you need to keep it safe from yourself (and plan accordingly if they answer is yes).

Also, I am sure you have a perfectly valid, sound and logical reason as to why you're waiting a year... but just want you to be really sure you know why you're waiting. And in case it's because you don't feel ready, ask yourself what will change in 12 months that will make you feel any different. This helps us discern between making a start and strategic plans and us just pressing the pause button because we are scared to do the hard and scary thing (which we often need to push through even when it, undoubtedly, is both hard and scary).

When you're this close to purchasing, the goal is usually to make sure the money is there when you need it. So let's go through some options:

High Interest Savings Account

A high interest savings account can be a good option if:

- You want easy access to the money (consider if this is a good or bad thing and you may want it with another bank if you will be tempted to spend it every time you look at your banking app).

- You're actively looking at properties.

- You may need to move quickly when the right property comes along.

Term Deposit

A term deposit can provide a little more certainty around your return.

Just keep in mind that many term deposits have restrictions if you need to access the money early. Some providers may allow you to break the term, but there can be notice periods (for example, 30 days) and interest penalties, so make sure you understand the conditions before locking anything away. Read the fine print, some people use these when they want to lock their money away from themselves with a stable return... but you just want to make sure you can get the money when you need it.

What about the First Home Super Saver Scheme?

If you're a first home buyer, it's worth looking into the First Home Super Saver Scheme.

The tax benefits can be attractive, however, I'd also be mindful of timing.

If you're potentially buying within the next year and property prices in your target area are moving quickly, I'd be weighing up:

- How much additional benefit the scheme may provide.

- Whether you'll have enough time to make meaningful contributions.

- The administrative process involved in releasing the funds.

- Whether keeping the money readily accessible gives you greater flexibility.

Also get your head around the paperwork and timings of it all... it can be great but there are some important 'must knows' if you're going to use it.

A few other things I'd be doing now...

1. Speak with a mortgage broker

Before you fall in love with a property, it's worth having a conversation with a broker about your borrowing capacity.

Many people focus solely on the size of their deposit and are surprised when borrowing capacity becomes the limiting factor.

A broker can help you understand:

- What you may be able to borrow today.

- What lenders are looking for.

- Any changes you could make over the next 12 months to strengthen your application.

2. Start tracking the market

One of the best things you can do is start saving properties on real estate websites now.

Create folders. Save listings. Attend open homes.

Pay particular attention to:

- What properties are actually selling for.

- How quickly they're selling.

- Whether they're consistently above or below the advertised price range.

This will help you build a much more realistic understanding of what your budget can buy and whether your deposit target aligns with the areas you're considering.

My overall view

If you're genuinely around 12 months from purchasing, I'd generally be keeping the money somewhere relatively low risk and accessible.

Because the biggest risk at this stage often isn't missing out on an extra 0.5 per cent of interest.

It's being ready when the right property comes along.

The next 12 months are probably less about maximising returns and more about:

- Protecting your deposit.

- Understanding your borrowing capacity.

- Researching your target area or property type.

- Getting yourself purchase-ready (it's time to get practising how many ways you can make beans on toast feel exciting!)

The fact that you're already a year out and thinking strategically about where the money sits tells me you're asking exactly the right questions... either that or, I might have just made you realise you're ready to go sooner, because you've actually got all your ducks lined up and were stalling because you're scared... and now realise that you're probably going to do it scared no matter when you do it. Good luck!

Jess x

Have a money dilemma?

Money dilemmas can be a nightmare! They can leave you up all night ruminating about what to do, have you feeling alone and isolated or just plain ol' stuck. So, we are here to help. I am going to tackle one a week and give you my unbiased, no BS general thoughts on how to tackle your conundrum. We would love for you to send yours (or someone you know) in. 

Obvs all of this is general advice only... especially important to note any and all of the comments above do not take into account your objectives, financial situation or needs. Before acting on any information, you should consider the appropriateness of the information provided and the nature of the relevant financial product having regard to your objectives, financial situation and needs.