Buying your first home involves more moving parts than most people expect - your deposit, the mortgage itself, legal and survey fees, and the timing of moving out of rented accommodation all need to line up. This guide walks through each stage in order, from working out what buying will actually cost you, through to the schemes and broker options that could help you get there sooner, so you can prepare with confidence rather than guesswork.
Key takeaway: Most first-time buyers need a deposit of at least 5%, plus a further few thousand pounds for legal fees, surveys and moving costs. Beyond your deposit, a range of schemes exist specifically to help first-time buyers borrow more or get started with less - it's worth understanding all of them before you commit to one route.
[[stats: 5%=Typical minimum deposit | £2,000-£2,500=Typical legal fees | Up to 6x=Highest available FTB income multiple]]
The costs of buying your first home
Before anything else, it's worth mapping out what buying a home actually costs beyond the price on the listing. These are the main costs first-time buyers need to budget for:
- Deposit - most first-time buyer mortgages require a minimum deposit of 5% of the property's value, though a larger deposit typically unlocks better rates and more lender choice.
- Legal fees - a solicitor or conveyancer typically charges in the region of £2,000-£2,500 for a straightforward freehold purchase, covering searches, contract checks and the legal transfer of ownership.
- Stamp duty - most first-time buyers benefit from stamp duty relief, but it's worth understanding how this compares to what a non-first-time buyer would pay on the same property (see the table below).
- Surveys - a mortgage valuation confirms the property is worth what you're paying, but it isn't a full survey. A separate homebuyer's report or building survey typically costs in the region of £500-£1,000, depending on the level of detail and the property's age and condition, and gives you a clearer picture of the property's condition before you commit.
- The rent-and-mortgage overlap - if you're currently renting, the Renters' Rights Act means tenants now need to give their landlord at least two months' notice to leave. Since it's not safe to hand in your notice until you've exchanged contracts on your purchase, most first-time buyers end up with an overlap of a month or two paying both their current rent and their new mortgage, plus both sets of household bills. It's worth budgeting for this overlap in advance rather than being caught out by it.
[[table: Purchase price | First-time buyer stamp duty | Standard (non-FTB) stamp duty ;; £250,000 | £0 | £2,500 ;; £300,000 | £0 | £5,000 ;; £400,000 | £5,000 | £10,000 ;; £500,000 | £10,000 | £15,000 ;; £600,000 | £20,000 | £20,000 ]]
First-time buyer relief applies up to £500,000: no stamp duty on the first £300,000, then 5% on the portion between £300,000 and £500,000. Above £500,000, the relief no longer applies at all and standard rates are charged in full instead, which is why the two columns converge at £600,000 in the table above.
To see how these costs add up for your own purchase, try the condensed calculator below, or use our full cost of move calculator for a more detailed breakdown including removals and mortgage fees.
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Saving your deposit
Building up a deposit is usually the biggest hurdle for first-time buyers, but there are a couple of routes that can help you get there faster.
- Lifetime ISA (LISA) - you can save up to £4,000 a year into a Lifetime ISA and the government adds a 25% bonus on top, up to £1,000 a year, provided the funds are used towards a first home worth £450,000 or less. It's one of the few ways to get free money added directly to your deposit.
- Gifted deposits - many first-time buyers rely on a gift from family to top up their own savings. Most lenders accept gifted deposits from parents or close family, and a smaller number will also accept gifts from friends. Lenders will usually want a signed letter confirming the money is a genuine gift, not a loan, and evidence of where the funds have come from.
Because lenders vary in how they treat gifted funds and non-standard savings histories, it's worth speaking to a mortgage broker early on to understand exactly how much you personally need to save, and how much of a gift (if any) would make sense for your situation.
How much can you borrow for your first mortgage?
Most UK lenders will offer first-time buyers around 4.5 times their annual income as a standard maximum, though several lenders now offer more through dedicated first-time buyer schemes - some up to 5.5x or 6x income, covered in more detail below. Your personal maximum will also depend on your credit profile, existing debts and monthly outgoings, not just your income multiple.
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If you're short of the amount you need borrowing on your own income, a Joint Borrower Sole Proprietor (JBSP) mortgage is worth understanding - it lets a family member's income boost your borrowing power without adding them to the property's ownership. For a fuller breakdown of income multiples and how lenders calculate affordability, see our guide on how much you could borrow in 2026.
Whole-of-market broker vs a tied broker or your bank
Where you go for mortgage advice can make a real difference to which deals and schemes you have access to.
[[table: Route | Access to lenders | Best suited to ;; Whole-of-market broker | The full mortgage market, including first-time buyer schemes from multiple lenders | Comparing every available option to find the best overall fit ;; Tied or multi-tied broker | A limited panel of lenders | Cases where the panel happens to include a competitive, suitable lender ;; Going direct to your own bank | Only that bank's own product range | Existing customers who have already compared the wider market ]]
Going direct to your own bank means you'll only ever see that one lender's rates and criteria, even if a different lender would offer you more or charge you less. A whole-of-market broker can compare first-time buyer schemes, standard deals and specialist criteria across the market on your behalf, which matters most when you're trying to stretch your budget as far as possible on your first purchase.
Quanstrom Financial is a whole-of-market mortgage broker, which means we compare deals and schemes across the full market on your behalf, rather than being limited to one bank's products or a restricted panel of lenders. That saves you the time and hassle of speaking to a tied broker or approaching your own bank directly, only to find a better option was available elsewhere all along.
Buying a new build as a first-time buyer
New build homes are a popular route for first-time buyers, partly because developers frequently offer incentives - such as contributions towards legal fees, stamp duty, or deposit top-up schemes - and partly because a new property typically needs far less spent on refurbishment or repairs in the short term compared with an older home. Lender criteria and valuations can work slightly differently on new builds, so it's worth understanding the details before you commit. Our complete guide to new build mortgages for first-time buyers covers this in full.
Mortgage schemes that could help you buy sooner
Beyond standard mortgages, a number of schemes exist specifically to help first-time buyers get on the ladder sooner, with a smaller deposit, or with more borrowing power.
[[lenders: Skipton Track Record | A 100% (no-deposit) mortgage that uses 12 months of on-time rent and household bill payments as evidence you can afford a mortgage, instead of requiring a deposit ;; Nationwide Helping Hand | Lets eligible first-time buyers borrow up to 6x income on a 5 or 10-year fixed rate, well above the standard 4.5x multiple most lenders use ;; Leeds Building Society Income Plus | Offers up to 5.5x income for first-time buyers (up to 6x for higher joint incomes) on a 5-year fixed rate, available through a mortgage broker ;; Halifax First Time Buyer Boost | Allows eligible first-time buyers to borrow up to 5.5x household income, subject to Halifax's minimum income requirements ;; Joint Borrower Sole Proprietor | Adds a family member's income to your affordability assessment without adding them to the property's title ]]
Scheme availability, eligibility criteria and minimum income requirements change fairly often, and not every scheme suits every situation - a mortgage broker can help you work out which, if any, of these are worth pursuing for your circumstances. Read more about how Joint Borrower Sole Proprietor mortgages work, and see the official pages for Skipton's Track Record mortgage, Nationwide's Helping Hand mortgage and Leeds Building Society's Income Plus mortgages for full eligibility criteria.
Buying your first home on a visa
If you're a visa holder, buying your first home is still very possible, though the process can look a little different - typically involving a higher minimum deposit, a more limited choice of lenders, and closer attention to how much time is left on your visa. Many mainstream and specialist lenders do still lend to visa holders, particularly on Skilled Worker and similar work visas. Our complete guide to getting a mortgage on a visa covers eligibility, deposit requirements and which lenders to consider in full.
Common first-time buyer mistakes to avoid
- Not getting a Decision in Principle early - agreeing your borrowing amount with a lender before you start viewing properties means you know your budget and can move quickly when you find the right home.
- Underestimating the extra costs - legal fees, surveys, moving costs and the rent-mortgage overlap can easily add several thousand pounds on top of your deposit if you haven't planned for them.
- Only checking one lender - as the table above shows, income multiples and scheme eligibility vary significantly between lenders, so comparing only one (such as your own bank) can mean missing out on a materially better deal.
- Making large purchases or opening new credit before applying - a new car finance agreement, credit card or "buy now, pay later" balance shortly before applying can reduce how much a lender is willing to offer, or affect your approval altogether.
- Leaving your rental notice too late - or too early - as covered above, timing your notice to your landlord around exchange of contracts (not before) avoids being left without a home, while understanding the likely overlap avoids being caught short on cash.
Your first-time buyer timeline
[[steps: Get a Decision in Principle|Speak to a broker and get an initial agreement showing what you're likely able to borrow, before you start viewing properties. ;; Find your property and make an offer|Once your offer is accepted, your broker can submit your full mortgage application. ;; Instruct a solicitor and your mortgage broker|Your solicitor begins searches and contract checks while your broker manages the mortgage application through to formal offer. ;; Survey and mortgage valuation|The lender arranges a valuation, and you may choose to commission your own homebuyer's report or building survey. ;; Exchange contracts|Contracts become legally binding and a completion date is set - this is the point it's safe to give notice on a rental property. ;; Complete and collect your keys|Funds transfer, ownership passes to you, and you can move into your first home. ]]
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Ready to take the next step?
Buying your first home involves a lot of moving parts, but you don't need to work through all of them alone. A whole-of-market mortgage broker can help you understand your realistic budget, compare schemes you may not have heard of, and keep your application on track from Decision in Principle through to completion.
Frequently asked questions
How much deposit do I need as a first-time buyer?
Most first-time buyer mortgages require a minimum deposit of 5% of the property's value, though a larger deposit typically opens up better rates and more lender choice. Some schemes, such as Skipton's Track Record mortgage, are designed for buyers with little or no deposit at all.
Do I have to pay stamp duty as a first-time buyer?
Most first-time buyers pay no stamp duty on the first £300,000 of a property's price, and 5% on the portion between £300,000 and £500,000. If the property costs more than £500,000, first-time buyer relief no longer applies at all and standard stamp duty rates are charged in full instead.
Can I get a mortgage with a 5% deposit?
Yes, a number of lenders offer 95% loan-to-value mortgages to first-time buyers, and some schemes go even further with little or no deposit required. Availability and rates at 95% LTV vary between lenders, so it's worth comparing your options with a broker.
What is a gifted deposit, and do all lenders accept them?
A gifted deposit is money put towards your deposit by someone else, usually a parent or close family member, though some lenders also accept gifts from friends. Most lenders will ask for a signed letter confirming the money is a genuine gift rather than a loan, along with evidence of where it came from.
How much can I borrow as a first-time buyer?
Most lenders offer around 4.5 times your annual income as standard, though several first-time buyer schemes offer more - up to 5.5x or 6x income in some cases, subject to eligibility criteria and minimum income requirements.
What is a Joint Borrower Sole Proprietor mortgage, and could it help me borrow more?
A Joint Borrower Sole Proprietor (JBSP) mortgage lets a family member's income be used to boost your affordability, without adding them to the property's ownership. It can be a useful alternative to a gifted deposit when the challenge is borrowing power rather than deposit size.
Can I get a first-time buyer mortgage if I'm on a visa?
Yes, many lenders will consider visa holders for a first-time buyer mortgage, particularly those on Skilled Worker and similar work visas, though deposit requirements and lender choice can be more limited than for UK or settled residents.
Do I need a mortgage broker, or can I just go straight to my bank?
You can apply directly with your own bank, but you'll only see that bank's own products and criteria. A whole-of-market broker can compare first-time buyer schemes and rates across many lenders, which is particularly valuable when you're trying to make the most of your budget on a first purchase.
How long does it take to buy a first home, from offer to completion?
There's no fixed timeline, as it depends on the chain, the lender and how quickly searches and surveys come back, but a straightforward first-time buyer purchase often takes somewhere in the region of two to four months from an accepted offer to completion.
Written by Toby Quanstrom CeMAP, Director at Quanstrom Financial, a whole-of-market mortgage broker based in Eastbourne, East Sussex.
This article is for information purposes only and does not constitute financial advice. Costs, scheme eligibility and lending criteria mentioned are subject to change, so always check current details with your adviser or the relevant lender before making a decision.
Your home may be repossessed if you do not keep up repayments on your mortgage.
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