The eye-watering length of time it now takes to save up for a house deposit as prices continue to surge - here are your best options

Saving up for a house deposit now taking the average buyer more than 15 years - even when putting away as much as $400 a month. 

Australians looking to get into the property market aim to save an average of $67,474 for a deposit, a survey by financial comparison group Mozo found.

If someone is able to save $359 a month, it would take them 15 years and eight months to reach that $67,000 figure.

For those saving less than $200 a month, setting aside money for a mortgage deposit would take at least 21 years and eight months. 

Even that saving goal is modest, as it would only be enough for a 10 per cent deposit to buy a $674,737 house, meaning the buyer would need to pay lenders mortgage insurance.

Despite widespread awareness of surging house prices, 78 per cent of those surveyed mistakenly believed they could save a deposit in just five years.

Mozo finance expert Rachel Wastell said saving up for a mortgage deposit was an elusive goal, as house prices climbed at a much faster pace than wages.

'Skyrocketing property prices are posing a considerable challenge for buyers, especially in Sydney where the median property price is over $1million,' she told Daily Mail Australia.

'The fact that prices are outpacing wage growth is also making it harder for aspiring Aussie homeowners to get on the property ladder.'

While a Sydney house is now almost beyond reach of all but the very wealthy, a 10 per cent mortgage deposit of $67,474 could get an aspiring home buyer something in the outer suburbs of  Brisbane or Melbourne.

There are options at Deception Bay, in the Moreton Bay area north of Brisbane, where the median house price is $644,241 and Frankston North, in south-east Melbourne, where the mid-point is $597,429, CoreLogic data showed.

'There's still hope for buyers looking just outside Brisbane and Melbourne, as some of the outer suburbs are still showing listings for houses around the $600 to $700k mark,' Ms Wastell said.

The affordable end of the house market has seen strong price growth with Deception Bay's median house price rising by 14 per cent in the year to April, as greater Brisbane's mid-point rose by 15.9 per cent to $909,988.

But there might be hope in Melbourne, where prices have risen by a more subdued 3.3 per cent during the past year, but are still unaffordable at $935,049.

House prices are growing by double-digits in Sydney, Brisbane, Adelaide and Perth.

But Melbourne prices are growing at a slower pace than the 4.2 per cent increase in the wage price index. 

That means outer suburban house prices are still rising at a modest pace, giving potential buyers more time to save, compared with other big state capital cities. 

In 2024, Brisbane is set to overtake Melbourne to become Australia's second least affordable state capital city.

Those wanting to live in Sydney have fewer options in a city with a median house price of $1.414million - following an annual increase of 10.7 per cent.

But Tregear in the city's outer west has a more affordable median house price of $688,442. 

Those who don't want to live in an outer suburb but want to benefit from rising house prices can consider rent-vesting where someone rents where they want to live, and rents out an investment property. 

'This strategy can be an effective way to enter the property market, especially given the low rental vacancy rates and high rental costs,' Mozo said.

'Nevertheless, buyers should exercise caution in selecting the property and location, as not all areas experience the same demand and rental yield.'

The Mozo survey of 2,554 adults in January and February found 41 per cent of respondents were saving less than $200 a month.

Another 26 per cent were saving $200 to $500 a month, compared with 16 per cent who saved $500 to $1,000 a month, 9 per cent who saved $1,000 to $2,000 a month and 5 per cent who saved more than $2,000 a month. 

Of those saving less than $200 a month, 62 per cent of them mistakenly thought they could save for a mortgage deposit in five years.