Good News for First-Time Buyers: Low-Deposit Mortgage Options Hit a 17-Year High

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There’s great news for aspiring homeowners and those with smaller deposits: there are now more mortgage options available for low-deposit buyers than we’ve seen in 17 years.

According to the latest Moneyfacts report, the number of 90% and 95% loan-to-value (LTV) mortgage deals has surged to a combined 1,287 options, the highest since 2008. 

This gives first-time buyers and low-deposit borrowers more choice and more flexibility than ever.

In fact, those with a 5% deposit now have access to more than 440 different mortgage products, more than double the number available just two years ago. For buyers with a 10% deposit, the number of options has also grown to over 840. While average rates on these deals are still above 5%, they mark a significant shift in the market. It’s a promising sign for those who’ve found saving a deposit difficult amid rising rents and living costs!

At Key Solutions, we know how important this is. With the cost of living still high and deposits harder to save for, these new mortgage options open the door for many who thought homeownership was out of reach.

Even better? Mortgage rates are trending down, especially on two-year and five-year fixed deals, helping to make repayments more manageable.

“This increase in low-deposit mortgages is a welcome sign of lender confidence and a real opportunity for those trying to get onto the ladder,” 

Michael Thompson, Key Solutions Managing Director

If you’ve got questions, we’re here with clear, honest advice and a 100% mortgage guarantee to support you every step of the way.

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About Key Solutions

Here at Key Solutions we believe taking out a mortgage should be easy. Why shouldn’t it? So when people say buying a home or getting a mortgage is one of the most stressful things ever, we say, come and speak to us.

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