Helping First-Time Buyers Overcome Affordability Challenges with a £5K Deposit Mortgage
Niamh Byrne, Head of Mortgage discusses this unique opportunity for first time buyers.
With soaring property prices, rising living costs, and increasing mortgage affordability challenges, stepping onto the property ladder has never been tougher for first-time buyers. The upcoming stamp duty changes at the end of March will further impact affordability, requiring buyers to pay more upfront and limiting the funds available for deposits. Recognising these challenges, some lenders have stepped in with a new solution—the £5K Deposit Mortgage.
What is the £5K Deposit Mortgage?
This exclusive mortgage option is designed to make homeownership more accessible to first-time buyers by significantly reducing the upfront savings required. Instead of the traditional 10% or more deposit, eligible applicants can now purchase a home with just £5,000.
Key features & eligibility criteria:
- Exclusively for first-time buyers – At least one applicant must be a first-time buyer.
- Just a £5,000 deposit required – Making homeownership more achievable.
- Gifted deposits accepted – Family members can contribute to the deposit.
- Maximum purchase price: £500,000 – Ensuring affordability within the scheme.
- Fixed rate security – Available exclusively on 5-year fixed mortgage products.
- Subject to lender approval – Applicants must meet affordability and credit criteria.
Acting now is important, why?
The upcoming stamp duty threshold change means first-time buyers could face higher upfront costs from April onwards. Acting now allows buyers to secure a property under the current rates, taking advantage of this unique mortgage opportunity.
How you can help your family benefit
If your family members want to take the first step toward homeownership, this scheme could provide the support they need. Whether it’s a child, grandchild, or other family member, the £5K Deposit Mortgage can make buying a home more achievable.
Get in touch with our Mortgage Team today to explore how this opportunity could benefit you or your loved ones.