"For first-time buyers, it’s important to look beyond the initial interest rate. Choosing a mortgage that fits your budget now and in the future can help make repayments more manageable over time."
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First-time buyer mortgage
What is a first-time buyer mortgage?
A first-time buyer mortgage helps people who've never bought a home, or inherited a home, before in either the UK or abroad.
Our partner Mojo Mortgages has first-time buyer mortgage experts who can advise you on your journey, and when you're ready, help compare the best deal for your circumstances.
How to get a first-time buyer mortgage
Getting your first mortgage may seem scary, but here's generally what to expect.
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Save a big enough deposit - you usually need at least 5% of the property price. You can use our mortgage repayment calculator to find out how much you can borrow.
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Apply for a mortgage in principle (MIP) - also known as an agreement or decision in principle. You usually need this before you start house-hunting so you can get an idea of what kind of houses you can afford. You can get a MIP from a broker, a bank, or a lender.
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Make a formal mortgage application - Once you've found a house you're happy with, you need to make a formal application. Our partner, Mojo, can take the hassle out and apply for the mortgage on your behalf. They'll also help you find the best first-time buyer mortgage for your circumstances.
If you want to know more, follow our step-by-step guide to buying your first house.
First-time buyer tips from our broker partner, Mojo Mortgages
How much deposit do I need as a first-time buyer?
To get a mortgage for your first home, you usually need a deposit of at least 5% of the property value or price (whichever is lower).
The table shows how much deposit you'd need to save on a £200,000 property.
| Deposit percentage | Deposit amount |
|---|---|
|
5%
|
£10,000
|
|
10%
|
£20,000
|
|
15%
|
£30,000
|
|
20%
|
£40,000
|
Putting down a bigger deposit can help you secure lower mortgage rates, as lenders view you as lower risk. It also means you borrow less overall, which can lead to smaller monthly repayments.
Can first-time buyers use a gifted deposit?
Yes, first-time buyers can usually use a gifted deposit for their first mortgage, as long as the money is a genuine gift and not a loan.
Most UK lenders will ask for a signed gifted deposit letter confirming the money doesn’t need to be repaid and that the person gifting it won’t have any ownership rights over the property.
Our mortgage calculators
What our mortgage expert says
What first-time buyer schemes are there?
Right to Buy
Offers council tenants the chance to purchase the house or flat they are living in, often below market value. This is only available in England (and Northern Ireland, in a slightly different format)
Help to Buy
Only available in Wales, the government provides an equity loan to first-time buyers to assist them with purchasing a property
Mojo's customer says:
Tips & guides on mortgages
Should I rent or buy?
The first step to getting a house is making the decision about whether it's better to rent or buy.
House viewing checklist
Here's some tips to bear in mind when you view property.
What is exchange of contracts?
The final hurdle before the house is officially yours – swap contracts and insure the building.
Getting a mortgage with a gifted deposit
Buying a house is an expensive process. Gifted deposits can help.
Guarantor mortgages
We look at guarantor mortgages and how they could help you get on the property ladder.
Mortgages: early repayment charges explained
Paying off your mortgage early seems like a good idea, but you could be charged. Here's what you need to know.
YOU SHOULD THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME/PROPERTY. YOUR HOME/PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
The Financial Conduct Authority does not regulate mortgages for commercial or investment buy-to-let properties.
Confused.com is not a mortgage intermediary and makes introductions to Mojo Mortgages to provide mortgage solutions.
Confused.com and Mojo Mortgages are part of the same group of companies.Confused.com 2nd Floor, Greyfriars House, Greyfriars Road, Cardiff, CF10 3AL, United Kingdom. Confused.com is a trading name of Inspop.com Limited and is authorised and regulated by the Financial Conduct Authority. FRN 310635
Mojo is a trading style of Life's Great Limited which is registered in England and Wales (06246376). We are authorised and regulated by the Financial Conduct Authority and are on the Financial Services Register (478215). Mojo’s registered office is The Cooperage, 5 Copper Row, London, SE1 2LH.
To contact Mojo by phone, please call 0333 123 0012.
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