Myth Buster: “No or Low Deposit? I Can’t Get a Mortgage.”

Think you need a huge deposit to buy a home? Think again.

It’s one of the biggest myths in the housing market - that you need a 20% deposit to stand a chance of getting approved. In reality, many lenders now offer low-deposit and even no-deposit mortgages for eligible buyers, helping more people take that first step onto the property ladder.

At Endurance Mortgages, we work with a wide range of lenders who understand that saving for a large deposit isn’t always possible, especially with rising rent and living costs. Here’s how low-deposit and no-deposit mortgages work - and how you could qualify.

1. Can You Really Get a Mortgage with a Small Deposit?

Yes - and it’s more common than you might think. Most lenders offer 95% loan-to-value (LTV) mortgages, which means you only need a 5% deposit. Some even offer 100% mortgages under specific conditions, such as family support or guarantor arrangements.

Examples include:

• 5% deposit mortgages: Supported by government-backed schemes and specialist lenders.

• Concessionary purchases: Buying from a family member at a discounted price, where the discount can count as your deposit.

• Guarantor or family-assisted mortgages: A close relative uses savings or equity in their property to help you qualify for a higher LTV.

These products open the door for first-time buyers, renters, and even movers who don’t have significant savings.

2. What About 100% Mortgages?

100% mortgages - also known as no-deposit mortgages - are available from a small number of lenders. They’re designed for responsible borrowers with good credit and a strong track record of paying rent or bills on time.

Some lenders assess your past rental history instead of requiring a deposit, meaning if you’ve consistently paid rent equivalent to a potential mortgage payment, you may be considered a lower risk.

It’s worth noting that eligibility criteria are stricter and interest rates can be slightly higher, so having a broker to compare options is key.

3. Who Are These Mortgages For?

Low or no-deposit mortgages can be a good fit for:

• First-time buyers who’ve been renting long-term.

• Home movers with limited equity in their current property.

• Those buying from family through a discounted sale (concessionary purchase).

• Borrowers with strong credit but little in savings.

Your eligibility will depend on your credit score, income stability, and how much you can comfortably afford each month.

4. How Endurance Mortgages Can Help

Not all lenders advertise low-deposit mortgages widely, and criteria vary from one provider to another. That’s where our team can help.

At Endurance Mortgages, we’ll:

• Review your financial situation and deposit options.

• Identify lenders who accept 5% or no deposit applicants.

• Explain which government schemes (like the Mortgage Guarantee Scheme) may apply to you.

• Support you throughout your application, ensuring your case is presented strongly.

Even if you’ve been told “no” elsewhere, we may be able to find an alternative route to homeownership.

5. Final Thoughts

Don’t let the deposit myth hold you back. You can buy a home with a smaller deposit - and sometimes even none at all. The key is understanding your options and finding the right lender for your circumstances.

Key takeaways: ✓ 5% deposit mortgages are widely available through government and lender schemes. ✓ 100% mortgages may suit renters with strong payment histories. ✓ Family-assisted or concessionary purchases can reduce or replace your deposit. ✓ Expert mortgage advice helps you access products others might miss.

If you’re ready to explore your options, our team at Endurance Mortgages can help you take the first step towards homeownership - even if your deposit isn’t as large as you think it needs to be.

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Your Home (or property) may be repossessed if you do not keep up repayments on your mortgage or any other debts secured on it. Some Buy to Let mortgages are not regulated by the Financial Conduct Authority A fee may be charged for mortgage advice. The exact amount will depend on your circumstances.

Endurance Mortgages Ltd is an appointed representative of The Right Mortgage Ltd which is authorised and regulated by the Financial Conduct Authority. Registered in England and Wales no. 15060351. Registered Address: Worting House, Church Lane, Basingstoke, Hampshire RG23 8PX.