Mortgage industry favouring first time buyers

3rd September 2021

It’s never been easier for first time buyers to get a mortgage!


Data from across the industry is pointing to first-time buyers being in the driving seat when it comes to securing the right mortgage deals.

The 95% mortgage scheme means deposits as low as 5% are now accepted by the majority of lenders as of April 2021. According to Which, there are now some ‘189 fixed-rate 95% deals now available, compared to just five at the start of March’.

This boost for first-time buyers, whose first home might have otherwise been out of reach, comes at a perfect time, with the stamp duty holiday ending and a shortage of housing stock has made moving an impossibility for those already on the ladder. First-time buyers no longer need to raise even a 10% deposit or Stamp Duty payments.

Alain Amos, Managing Director of Charters, shared his opinion with us: ‘Just a few months ago, a 95% mortgage would have been unheard of, Not only do we now have many products offering just that, but we’re now seeing interest rates under 1% too.’

‘First-time buyers are now able to look forward to their first foray into their home with the confidence that a low-deposit, fixed-rate mortgage is affordable and makes sound financial sense.’

For example if you are a first time buyer here are some possible mortgage repayments:

  1. A £200,000 property with a 90% mortgage over 30 years on a 1.99% deal would cost £664.42 per month.*
  2. A £300,000 property with a 95% mortgage over 30 years on a 2.95% deal would cost £1193.90 per month.*
  3. A £400,000 property using Help to Buy with a 25% deposit over 30 years on a 1.14% deal would cost £1082.77 per month.*

Or use our mortgage calculator to find out your options.


If you’d like to know more about how the figures add up for your first move, click here. Or alternatively call one of our friendly advisers on 03454 500 200.

With mortgage brokers in Winchester, Southampton, Farnham, Bishops Waltham, Alton, Chandlers Ford, Alresford, Romsey and Park Gate, you are never too far from mortgage advice.

*All are subject to a fee of £999, which can be added to a mortgage, but is not included in the above illustrations.

Your home may be repossessed if you do not keep up repayments on your mortgage. There may be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances. The fee is up to 1% but a typical fee is 0.3% of the amount borrowed.

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Thank you so much Charters. Big shoutout to Gavin Andrews and Cara Simpson-Hayter. They went above and beyond to help me get my mortgage in testing times, make them selves available and were always willing to help.

Yes B

November 2020

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