Compare first time buyer mortgages September 2021

Choose a mortgage that could be available to you as a first time buyer, and help you get on the property ladder.

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1761 results found, based on a property cost of £200,000 with a deposit of £80,000 for 25 years. Sorted by lowest initial monthly payment. Find out more about how our calculator works and how we order our comparisons.. Commission earned affects the table's sort order.
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£
£
years
Barclays 2 year BBR tracker
Initial rate
0.85% base rate tracker for 2 years
Subsequent rate (SVR)
3.59% base rate tracker
Overall cost for comparison
3.2% APRC
Monthly cost
£444.15 for 24 monthsthen £593.02 a month
The total cost of a £120,000 mortgage over 25 years is £175,332.12, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end70 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Barclays 2 year fixed
Initial rate
0.86% fixed until 30 Nov 2023
Subsequent rate (SVR)
3.59% base rate tracker
Overall cost for comparison
3.2% APRC
Monthly cost
£444.68 for 26 monthsthen £591.96 a month
The total cost of a £120,000 mortgage over 25 years is £174,757.72, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 30 Nov 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end70 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
HSBC 2 year fixed for first time buyers
Initial rate
0.89% fixed until 30 Nov 2023
Subsequent rate (SVR)
3.54% variable
Overall cost for comparison
3.2% APRC
Monthly cost
£446.30 for 26 monthsthen £589.22 a month
The total cost of a £120,000 mortgage over 25 years is £174,049.08, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking fee£999 with an option to add to the loan
Completion feeNo fee
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, in the first year

- then 1.00% of amount paid, until 30 Nov 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Halifax 2 year fixed cashback mortgage for first time buyers
Initial rate
0.89% fixed until 30 Nov 2023
Subsequent rate (SVR)
3.59% variable
Overall cost for comparison
3.2% APRC
Monthly cost
£446.30 for 26 monthsthen £592.14 a month
The total cost of a £120,000 mortgage over 25 years is £175,345.16, including £1495 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£1,495 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 30 Nov 2022

- then 1.00% of amount paid, until 30 Nov 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Halifax 2 year fixed for first time buyers
Initial rate
0.89% fixed until 30 Nov 2023
Subsequent rate (SVR)
3.59% variable
Overall cost for comparison
3.2% APRC
Monthly cost
£446.30 for 26 monthsthen £592.14 a month
The total cost of a £120,000 mortgage over 25 years is £175,345.16, including £1495 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£1,495 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 30 Nov 2022

- then 1.00% of amount paid, until 30 Nov 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Progressive Building Society 2 year fixed for properties in Northern Ireland
Initial rate
0.89% fixed for 2 years
Subsequent rate (SVR)
4.35% variable
Overall cost for comparison
3.9% APRC
Monthly cost
£446.30 for 24 monthsthen £639.05 a month
Available in branch only.
The total cost of a £120,000 mortgage over 25 years is £188,084.00, including £995 of fees.
More information
Application feeNo fee
Arrangement fee£995 with an option to add to the loan
Booking feeNo fee
Completion feeNo fee
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 3.00% of amount paid, in the first two years

Other fees may apply.

Eligibility
Available Direct
Available in Northern Ireland
First Time Buyers
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Santander 2 year fixed cashback mortgage
Initial rate
0.89% fixed until 02 Dec 2023
Subsequent rate (SVR)
3.35% base rate tracker
Overall cost for comparison
3% APRC
Monthly cost
£446.30 for 26 monthsthen £578.18 a month
The total cost of a £120,000 mortgage over 25 years is £171,024.12, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 3.00% of the outstanding balance, before 02 Dec 2023

- £250 cashback needs to be repaid before 02 Oct 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end75 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Halifax 2 year fixed cashback mortgage for first time buyers
Initial rate
0.9% fixed until 30 Nov 2023
Subsequent rate (SVR)
3.59% variable
Overall cost for comparison
3.2% APRC
Monthly cost
£446.84 for 26 monthsthen £592.20 a month
The total cost of a £120,000 mortgage over 25 years is £174,875.64, including £995 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£995 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 30 Nov 2022

- then 1.00% of amount paid, until 30 Nov 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Halifax 2 year fixed for first time buyers
Initial rate
0.9% fixed until 30 Nov 2023
Subsequent rate (SVR)
3.59% variable
Overall cost for comparison
3.2% APRC
Monthly cost
£446.84 for 26 monthsthen £592.20 a month
The total cost of a £120,000 mortgage over 25 years is £174,875.64, including £995 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£995 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 30 Nov 2022

- then 1.00% of amount paid, until 30 Nov 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 2 year fixed
Initial rate
0.9% fixed until 31 Oct 2023
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.8% APRC
Monthly cost
£446.84 for 61 monthsthen £602.20 a month
The initial rate will be followed by a rate of 3.75% until 31 Oct 2026 (0.74% discount on SVR).
The total cost of a £120,000 mortgage over 25 years is £187,756.91, including £1495 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£1,495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.50% of amount paid, before 31 Oct 2022

- then 1.50% of amount paid, until 31 Oct 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Santander 2 year fixed cashback mortgage
Initial rate
0.94% fixed until 02 Dec 2023
Subsequent rate (SVR)
3.35% base rate tracker
Overall cost for comparison
3% APRC
Monthly cost
£449.00 for 26 monthsthen £578.47 a month
The total cost of a £120,000 mortgage over 25 years is £171,173.78, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 3.00% of the outstanding balance, before 02 Dec 2023

- £250 cashback needs to be repaid before 02 Oct 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end75 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Virgin Money 2 year fixed cashback mortgage
Initial rate
0.94% fixed until 01 Feb 2024
Subsequent rate (SVR)
4.34% variable
Overall cost for comparison
3.8% APRC
Monthly cost
£449.00 for 28 monthsthen £635.84 a month
Available on new builds. Available on an interest only or repayment basis. For residential interest only and part and part loans there is a minimum combined gross income requirement of £75,000.
The total cost of a £120,000 mortgage over 25 years is £186,515.48, including £995 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£995 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 1.50% of the outstanding balance, before 01 Feb 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at application68 years
Max age at term end75 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Barclays 2 year fixed
Initial rate
0.96% fixed until 30 Nov 2023
Subsequent rate (SVR)
3.59% base rate tracker
Overall cost for comparison
3.2% APRC
Monthly cost
£450.08 for 26 monthsthen £592.56 a month
The total cost of a £120,000 mortgage over 25 years is £175,062.52, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 30 Nov 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end70 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
HSBC 5 year fixed for first time buyers with an existing current account
Initial rate
0.96% fixed until 30 Nov 2026
Subsequent rate (SVR)
3.54% variable
Overall cost for comparison
2.6% APRC
Monthly cost
£450.08 for 62 monthsthen £570.76 a month
The total cost of a £120,000 mortgage over 25 years is £165,244.84, including £1499 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking fee£1,499 with an option to add to the loan
Completion feeNo fee
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 5.00% of amount paid, in the first year

- 4.00% of amount paid, in the second year

- 3.00% of amount paid, in the third year

- 2.00% of amount paid, in the fourth year

- then 1.00% of amount paid, until 30 Nov 2026

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
Existing Customer Typecurrent account
Existing Customer Only
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Leeds Building Society 2 year fixed
Initial rate
0.96% fixed until 31 Dec 2023
Subsequent rate (SVR)
5.29% variable
Overall cost for comparison
4.3% APRC
Monthly cost
£450.08 for 63 monthsthen £618.61 a month
The initial rate will be followed by a rate of 4.04% until 31 Dec 2026 (1.25% discount on SVR).
The total cost of a £120,000 mortgage over 25 years is £198,244.86, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 3.00% of amount paid, before 31 Dec 2022

- then 2.00% of amount paid, until 31 Dec 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end85 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Self Employed Accepted
Nationwide 2 year fixed cashback mortgage for first time buyers
Initial rate
0.96% fixed for 2 years
Subsequent rate (SVR)
3.59% variable
Overall cost for comparison
3.3% APRC
Monthly cost
£450.08 for 24 monthsthen £593.63 a month
The total cost of a £120,000 mortgage over 25 years is £176,142.80, including £1499 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£1,499 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 1.50% of the outstanding balance, in the first year

- 0.75% of the outstanding balance, in the second year

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end75 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 2 year fixed
Initial rate
0.97% fixed until 31 Oct 2023
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.9% APRC
Monthly cost
£450.62 for 61 monthsthen £602.61 a month
The initial rate will be followed by a rate of 3.75% until 31 Oct 2026 (0.74% discount on SVR).
The total cost of a £120,000 mortgage over 25 years is £187,968.94, including £1495 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£1,495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.50% of amount paid, before 31 Oct 2022

- then 1.50% of amount paid, until 31 Oct 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Barclays 3 year fixed
Initial rate
0.99% fixed until 30 Nov 2024
Subsequent rate (SVR)
3.59% base rate tracker
Overall cost for comparison
3% APRC
Monthly cost
£451.70 for 38 monthsthen £586.37 a month
The total cost of a £120,000 mortgage over 25 years is £171,792.54, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 30 Nov 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end70 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Furness Building Society 2 year fixed
Initial rate
0.99% fixed for 2 years
Subsequent rate (SVR)
5.14% variable
Overall cost for comparison
4.6% APRC
Monthly cost
£451.70 for 24 monthsthen £689.26 a month
Area restrictions may apply.
The total cost of a £120,000 mortgage over 25 years is £202,075.56, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 3.00% of amount paid, in the first year

- 2.00% of amount paid, in the second year

Other fees may apply.

Eligibility
Available Direct
Available in England
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Self Employed Accepted
HSBC 2 year fixed for first time buyers
Initial rate
0.99% fixed until 30 Nov 2023
Subsequent rate (SVR)
3.54% variable
Overall cost for comparison
3.2% APRC
Monthly cost
£451.70 for 26 monthsthen £589.81 a month
The total cost of a £120,000 mortgage over 25 years is £174,351.14, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking fee£999 with an option to add to the loan
Completion feeNo fee
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, in the first year

- then 1.00% of amount paid, until 30 Nov 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
HSBC 2 year fixed for first time buyers
Initial rate
0.99% fixed until 30 Nov 2023
Subsequent rate (SVR)
3.54% variable
Overall cost for comparison
3.2% APRC
Monthly cost
£451.70 for 26 monthsthen £589.81 a month
The total cost of a £120,000 mortgage over 25 years is £174,351.14, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking fee£999 with an option to add to the loan
Completion feeNo fee
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, in the first year

- then 1.00% of amount paid, until 30 Nov 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
HSBC 3 year fixed for first time buyers
Initial rate
0.99% fixed until 30 Nov 2024
Subsequent rate (SVR)
3.54% variable
Overall cost for comparison
3% APRC
Monthly cost
£451.70 for 38 monthsthen £583.58 a month
The total cost of a £120,000 mortgage over 25 years is £171,061.56, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking fee£999 with an option to add to the loan
Completion feeNo fee
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 3.00% of amount paid, in the first year

- 2.00% of amount paid, in the second year

- then 1.00% of amount paid, until 30 Nov 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
HSBC 5 year fixed for first time buyers
Initial rate
0.99% fixed until 30 Nov 2026
Subsequent rate (SVR)
3.54% variable
Overall cost for comparison
2.6% APRC
Monthly cost
£451.70 for 62 monthsthen £571.17 a month
The total cost of a £120,000 mortgage over 25 years is £164,942.86, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking fee£999 with an option to add to the loan
Completion feeNo fee
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 5.00% of amount paid, in the first year

- 4.00% of amount paid, in the second year

- 3.00% of amount paid, in the third year

- 2.00% of amount paid, in the fourth year

- then 1.00% of amount paid, until 30 Nov 2026

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Leeds Building Society 2 year fixed
Initial rate
0.99% fixed until 31 Dec 2023
Subsequent rate (SVR)
5.29% variable
Overall cost for comparison
4.3% APRC
Monthly cost
£451.70 for 63 monthsthen £618.80 a month
The initial rate will be followed by a rate of 4.04% until 31 Dec 2026 (1.25% discount on SVR).
The total cost of a £120,000 mortgage over 25 years is £198,347.58, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 3.00% of amount paid, before 31 Dec 2022

- then 2.00% of amount paid, until 31 Dec 2023

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end85 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Self Employed Accepted
Nationwide 2 year fixed cashback mortgage for first time buyers
Initial rate
0.99% fixed for 2 years
Subsequent rate (SVR)
3.59% variable
Overall cost for comparison
3.3% APRC
Monthly cost
£451.70 for 24 monthsthen £593.79 a month
The total cost of a £120,000 mortgage over 25 years is £175,725.84, including £999 of fees.
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 1.50% of the outstanding balance, in the first year

- 0.75% of the outstanding balance, in the second year

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end75 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE

The results shown are for illustrative purposes, as you may not be eligible for every deal shown.

Lenders consider your credit record and financial circumstances when they decide if they can offer you a mortgage.

Overall representative example

Based on borrowing£170,000 over 25 yearsThe overall cost of comparison3.65% APRC representative
Initial rate2.14% fixed for 2 years (24 instalments of £719.04pm)Subsequent rate (SVR)3.86% variable for the remaining 23 years (276 instalments of £874.10pm)
Lender fee£553Total amount payable£259,060.30

Last updated: 14 May, 2021

Who qualifies as a first time buyer?

If you're single and never owned a home, then you'll be considered a first time buyer. This goes for couples where both partners have never previously bought a home as well.

If you've inherited property before, then unfortunately, you won't be classed as a first time buyer. Although you'd be buying for the first time, the rules state that you must never have owned a home before, which is different from never having bought one before.

However, there is good news for commercial property owners. If you've owned a shop, or restaurant, but never owned your own home, you'd still be considered a first time buyer.

How much can I borrow as a first time home buyer?

Typically, lenders used to be willing to lend you about five times your household income. But these days lenders are more cautious about how much they lend you, and take your affordability into account.

Some of the criteria banks and providers use to calculate how much you can borrow include:

  • Your income

  • The deposit amount

  • Your regular outgoings

  • The amount of debt you already have

  • Your credit history

Some providers also calculate your affordability using hypothetical scenarios such as interest rates increasing suddenly to twice or thrice the current rate.

To increase your borrowing potential, it's a good idea to start spending sensibly and reduce your outgoings where possible, three to six months before you apply for a mortgage.

Calculate how much you can borrow with our first time buyer mortgage calculator.

What type of first time buyer mortgage should I choose?

If you're buying a home, you can get two kinds of mortgages:

  • A fixed rate mortgage, or

  • A variable mortgage.

The decision depends on how much financial security you need. First time buyer mortgage rates are affected by which type of mortgage you choose.

Learn more about getting your first mortgage.

With a fixed rate mortgage, the interest rate is guaranteed to stay the same over a set period of time. But the payments might be slightly higher than they would with the best variable mortgage. A first time home buyer might find the security of fixed payments reassuring.

With a variable mortgage, the interest rate can change. The monthly repayments are usually a bit cheaper with a fixed rate mortgage. But if the interest rate changes - often because the Bank of England base rate changes - your repayments can increase. Some first home buyers are willing to take the risk for the sake of lower repayments initially.

The mortgages first time buyers choose varies. The best mortgages for first time buyers depends on their situation and how much financial security they need.

Learn more about fixed and variable rate mortgages.

How much of a deposit do I need as a first time buyer?

When buying a home, the bigger your deposit the better your first time buyer interest rate will be.

These days, you need to have a deposit of at least 5% of the property value to get a mortgage. This will result in a Loan to Value ratio (LTV) of 95%, which is the maximum that almost all lenders will accept.

For example, on a £150,000 property, this would mean a deposit of £7,500. You'd get a mortgage for the remaining £142,500.

LTV is a measure of the percentage of the property price that you will need to borrow to make the purchase. Typically, most banks recommend an LTV of 80%.

You can find 95% mortgages for first home buyers from a wide range of lenders in our comparison tables.

Government schemes to help first time buyers

Many first time buyers struggle to save enough to qualify for a mortgage. This is why government has schemes in place to help people get on the property ladder and buy their first home.

Help to Buy

Help to Buy is a first time home buyer government scheme that can help you get a mortgage with a small deposit.

They offer equity loans. That's when they lend you money that you can use towards your deposit, and you repay it later.

Shared ownership

There is another first time home buyer government scheme which offers shared ownership.

That's when you buy a share of your home's value, between 25% and 75% and pay rent on the portion you don't own. This means you can buy a house with a smaller mortgage, and therefore a smaller deposit too.

Lifetime ISA

If you're over 18 but under 40, you can make the most of the Lifetime ISA. This is a first time home buyer government incentive to help you buy your first home and save for your future.

Under the rules you can add £4,000 a year into your Lifetime ISA until you're 50. The government adds a 25% bonus to the money you save, up to a maximum of £1,000 annually.

First time buyer mortgage FAQs

Can I get an interest only mortgage as a first time buyer?

It is very unlikely that you will be offered an interest only mortgage as a first time buyer. Most mortgages are capital repayment mortgages, where you pay off the interest and the capital with each monthly payment. Interest only mortgages are usually reserved for landlords with multiple properties.

Can I afford a mortgage?

You can use our mortgage affordability calculator to work out how much you could borrow. From there, look at properties in the area you want to buy in and work out how much you’ll need to save as a deposit. 

 Mortgage repayment calculators can give you an idea of what your monthly payments will be. Compare these estimated payments with your salary and regular outgoings to see if you can afford it. 

Does my credit record matter when getting a 90% mortgage?

Yes, your credit record does matter. Lenders will want to see proof of your ability to keep up your mortgage repayments. They will take a look at your spending habits and assess your affordability, which may impact how much you can borrow. Here is more on why your credit record matters.

Are 95% mortgages available to first time buyers?

It is possible to get a first time buyer mortgage with a 95% LTV. You could use schemes like Help to Buy and the new Mortgage Guarantee Scheme available to help prospective homeowners get onto the property ladder with a 5% deposit. You can find 95% LTV first time buyer mortgage deals in our comparison.

Can I get a first time buyer mortgage with no deposit?

Most mortgages need at least a 5% deposit, and for better interest rates you will need to save around 15%. There are some government schemes available to help you get on the property ladder with 0% deposit, but these usually require having a friend or family member act as a guarantor.

Can I get a mortgage with someone else?

Yes, and getting a joint mortgage means you could borrow more and make the repayments easier to afford. Here is how joint mortgages work.

About our mortgage comparison

Who do we include in this comparison?

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.

How do we make money from our comparison?

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.