You can find them using this comparison, which includes every 95% loan to value (LTV) mortgage you can get in the UK.

Use it to compare the interest rate and fees that come with each deal so you can work out which will be cheapest.

What is a 95% mortgage?

It is a mortgage where the amount you borrow is 95% of the value of the house you buy.

You pay the rest of the purchase price yourself using either:

  • A deposit you have saved up

  • Equity, which is the share of your current home you own already

For example, if you bought a house for 200,000 and had saved up 10,000, this deposit would cover 5% of the price. Your mortgage would cover 190,000, which means an LTV of 95%.

You can use them for:

Buying your first home

Some 95% mortgages can be used to buy your first home. You need to save up a 5% deposit and find one that accepts first time buyers.

You could also use the Help to Buy scheme to buy your first house with a 5% deposit.

Moving home

If the outstanding balance on your mortgage is 95% of the cost of the house you want to buy, you would need a new mortgage with an LTV of 95%.

For example, if you owe 190,000 on your mortgage and want to buy a new house for 200,000, you would need a 95% LTV remortgage. The 10,000 equity in your current home could be used as the 5% deposit on your new mortgage.

Remortgaging

If the outstanding balance on your mortgage is 95% of your house's value, you could get a new mortgage with an LTV of 95%.

For example, if you owe 190,000 on your mortgage and your house is worth 200,000, you would need a 95% LTV remortgage.

However, interest rates on 95% mortgages are usually higher than those with a lower LTV. This means the best deals are available if you can save up to increase the equity in your home.

95% mortgage FAQs

Q

Can I get a mortgage without a deposit?

A

Yes, if you have a guarantor. You need at least a 5% deposit for other mortgages, but some come with schemes to help you buy your first home.

Q

How can I save a deposit?

A

Here is how to save up for a deposit. Saving more helps your chances of being accepted and could help you get a cheaper mortgage.

Q

Does my credit record matter?

A

Yes, it will show lenders if you can keep up with repayments on a mortgage. Here is why your credit record matters.

Q

Can I afford a mortgage?

A

Check if you can afford one by working out how much you earn and spend. Compare this to how much buying a home will cost you.

Q

What is a higher lending charge?

A

Some lenders add a fee of around 1.5% if your deposit is less than 10%. Not every lender charges this as a separate fee.

About our mortgage comparison

Q

Who do we include in this comparison?

A

We include mortgages from every lender in the UK. They are all from lenders regulated by the Financial Conduct Authority. Here is more information about how our website works.

Q

How do we make money from our comparison?

A

We have commercial agreements with some of the companies in this comparison and get paid commission if we help you take out one of their products or services. Find out more here.
You do not pay any extra and the deal you get is not affected.