First Time Buyer Mortgage Rates (UK)
Current market ranges, deposit expectations, and common fee patterns for first time buyer mortgages in one place.
Indicative figures only - lender pricing changes frequently and depends on case complexity.
Rate Overview
Typical market range for first time buyer mortgage pricing.
Typical rate range
4.0% - 5.5%
3.5% - 6.0%
Typical deposit
5% - 10%
Min 5%
Typical timeline
3-6 weeks
Application to completion
Rates are indicative, not a quote. Final pricing depends on lender criteria, LTV, rental profile, and borrower background.
What Moves Your Rate Up or Down
These are the strongest factors lenders weigh when setting pricing.
- Lower deposit requirements (5-10%)
- Access to government schemes like Help to Buy
- First-time buyer specific products and rates
- Professional guidance and support
- Flexible lending criteria for new buyers
Fee Breakdown
Common charges to plan for alongside the headline rate.
Arrangement Fee
Lender product fee
£0 - £1,999
often added to loan
Valuation Fee
Property survey
£0 - £1,500
sometimes free with lender
Legal Fees
Conveyancing costs
£800 - £1,500
plus disbursements
Broker Fee
Advice and arrangement
£0 - £500
some brokers are fee-free
Rate FAQs
Quick answers to common pricing questions.
What is the Help to Buy scheme and how does it work?+
Help to Buy is a government scheme that provides an equity loan of up to 20% (40% in London) of the property value, allowing you to buy with just a 5% deposit. The loan is interest-free for the first 5 years.
Can I get a mortgage with a 5% deposit?+
Yes, many lenders offer 95% loan-to-value mortgages for first-time buyers, though you may need to pay higher interest rates and potentially higher fees. Government schemes can also help with smaller deposits.
Can I get a first-time buyer mortgage with adverse credit?+
Some lenders may consider first-time buyers with minor credit issues, though you may need a larger deposit and face higher rates. Government schemes may not be available if you have significant credit problems.
What is stamp duty and do first-time buyers pay it?+
First-time buyers are exempt from stamp duty on properties up to £425,000, and pay reduced rates on properties up to £625,000. This can save thousands of pounds compared to other buyers.