First-Time Buyer Mortgages
Get on the property ladder with expert guidance. From 5% deposits to government schemes, we'll help you navigate your first home purchase.
How much deposit do I need as a first-time buyer in the UK?
First-time buyers in the UK need a minimum 5% deposit, though 10-15% unlocks better rates and more lender choices. For a £200,000 property, that's £10,000-£30,000. Government schemes like Shared Ownership reduce upfront costs. First-time buyers also get Stamp Duty relief on properties up to £425,000.
Expert guidance through your first property purchase.
How much deposit do I need as a first-time buyer in the UK?
As a first-time buyer in the UK, you need a minimum 5% deposit, though 10-15% unlocks better interest rates and more lender choices. For a £200,000 property, that's £10,000-£30,000. Government schemes like Shared Ownership can reduce this. First-time buyers also get Stamp Duty relief on properties up to £425,000, saving thousands.
First-Time Buyers: Quick Summary
- •Minimum 5% deposit, but 10-15% unlocks better rates and more options
- •No Stamp Duty on properties up to £425,000 for first-time buyers
- •Shared Ownership lets you buy 25-75% and pay rent on the rest
- •Lifetime ISA gives 25% government bonus on savings up to £4,000/year
- •Typically borrow 4-4.5x your annual salary with most lenders
Content reviewed: 13 January 2026
What is it?
A mortgage for people who have never owned property anywhere in the world. First-time buyers benefit from Stamp Duty relief, exclusive product rates, government schemes like Shared Ownership, and Lifetime ISA bonuses up to £1,000/year.
Who qualifies?
- Anyone who has never owned residential property worldwide
- Buyers using Lifetime ISAs or Help to Buy ISAs
- Shared Ownership scheme applicants
- Those buying with family assist/guarantor support
- Graduates with student debt (treated differently by FTB-friendly lenders)
Typical deposit
5-15% of property value. Government schemes and family support can reduce effective deposit requirements.
Typical rates
Competitive rates, often matching or beating standard products. 5% deposit deals typically 0.5-1% higher than 10%+ deposits.
Documents needed
- 3 months payslips (employed) or 2 years accounts (self-employed)
- 3-6 months bank statements
- Proof of deposit (savings statements, gift letter)
- ID and proof of address
- Lifetime ISA/Help to Buy ISA statements if applicable
Real Example
Situation: Couple aged 28 and 30, combined income £65,000, £20,000 deposit including £8,000 LISA bonuses, buying £240,000 first home.
Outcome: Approved for £220,000 mortgage at 4.3%. No Stamp Duty due (property under £425,000 threshold). Monthly payment £1,180.
First-Time Buyer Mortgages Explained
First-time buyer mortgages are designed specifically for people purchasing their first home. If you've never owned property before (anywhere in the world), you're classified as a first-time buyer and can access special benefits, schemes, and mortgage products.
The biggest advantage is Stamp Duty relief—you pay no Stamp Duty on properties up to £425,000 (or the portion up to £425,000 on more expensive properties). This can save you thousands of pounds compared to other buyers.
You can get mortgages with deposits as low as 5%, and government schemes like Shared Ownership can reduce this further. Many lenders offer exclusive first-time buyer products with competitive rates. If you have any adverse credit issues, don't worry—we have specialist lenders who work with first-time buyers. We'll guide you through every step, from saving your deposit to getting your keys. Use our mortgage calculators to determine your budget.
Your home may be repossessed if you do not keep up repayments on your mortgage.
Why Choose Us for Your First Home
Access mortgages with deposits as low as 5%, helping you get on the property ladder sooner
Help to Buy, Shared Ownership, and other schemes designed specifically for first-time buyers
Stamp Duty relief and exclusive mortgage products only available to first-time buyers
Dedicated support through every step of your first home purchase journey
First-Time Buyer Guide: Expert Tips
Everything you need to know about buying your first home
Lenders typically offer 4-4.5 times your annual salary, though some go higher with the right circumstances. Your deposit size affects this—larger deposits can unlock higher income multiples. Don't forget to factor in other debts like car finance or student loans, as these reduce what you can borrow. Use our calculator to get an accurate estimate based on your specific situation.
You'll typically need at least 5% deposit, though 10-15% gives you access to better rates. Lifetime ISAs offer a 25% government bonus on savings up to £4,000 per year. Gifted deposits from family are widely accepted by lenders. Consider Help to Buy ISAs if you opened one before 2019. Start saving early and consistently—even small amounts add up over time.
The Help to Buy Equity Loan (now closed to new applicants) gave 5-20% equity loans on new builds. Shared Ownership lets you buy 25-75% of a property and pay rent on the remainder. First Homes scheme offers 30-50% discount on new builds for local first-time buyers. Each scheme has specific eligibility criteria and trade-offs to consider carefully.
First-time buyers pay no stamp duty on properties up to £425,000 (or £625,000 in some cases). On properties up to £625,000, you only pay stamp duty on the amount above £425,000. This can save you thousands compared to other buyers. The relief applies if you and anyone you're buying with have never owned property before, anywhere in the world.
Fixed vs variable rates, repayment vs interest-only, term length, and early repayment charges—there's a lot to understand. Most first-time buyers choose fixed-rate repayment mortgages for certainty and to build equity. Longer terms mean lower monthly payments but more interest overall. Don't be afraid to ask questions—understanding your options is crucial for making the right choice.
Register on the electoral roll immediately—this is the single biggest boost. Pay all bills on time for at least 6 months before applying. Check your credit report for errors and get them corrected. Keep credit utilisation below 30% of limits. Avoid making multiple credit applications in the months before your mortgage application. Small improvements can make a significant difference to your mortgage options.
...and 5 more steps
First-Time Buyer FAQs
Common questions from first-time buyers answered
Guides
Related Services
First-Time Buyer Guides
Expert guides to help you navigate your first property purchase with confidence.
Quick Answers
How Much Deposit Do I Need?
Minimum deposit requirements for first-time buyers
Can I Use a Gifted Deposit?
Using family gifts for your deposit
What Is a Mortgage AIP?
Agreement in Principle explained
What Credit Score Do I Need?
Credit score requirements for mortgages
Joint Borrower Sole Proprietor
Family support mortgage options
People Also Ask About First-Time Buyer Mortgages
Your home may be repossessed if you do not keep up repayments on your mortgage.
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