Guide to getting a First Time Buyer mortgage

Guide to Getting a First-Time Buyer Mortgage (UK)

Last updated: February 2026
Buying your first home is a brilliant milestone-and it can also feel overwhelming. There are lots of moving parts: deposits, credit scores, affordability checks, lender criteria, solicitors, surveys… and a timeline that can be hard to picture at the start.

This guide walks you through the first time buyer mortgage process step by step, in plain English. If you’d like help working out what you can borrow, how much you’ll need upfront, or which lenders are likely to suit your situation, we’re happy to help.

In this guide we will discuss:

• What is a mortgage?
• How much can I borrow?
• How to get mortgage-ready (6 months before)
• Deposits (including gifted deposits)
• Agreement in Principle (AIP)
• The step-by-step timeline
• First time buyer schemes & options
• Common pitfalls to avoid
• First time buyer FAQs

Want a quick sense-check before you start viewing properties? Get in touch for a no-obligation chat.

Book a Mortgage Appointment

What is a mortgage?

If you don’t have enough money to buy a property outright, you’ll usually need a mortgage.

In simple terms:

• A mortgage is a loan secured against your home.
• You pay it back over a set period (often 25-35 years) in monthly payments.
• A lender assesses your affordability (income vs outgoings) to decide how much you can borrow.
• You’ll usually need a deposit, often from 5% upwards.
• If you don’t keep up repayments, your home could be repossessed.

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

Most lenders look at:

• Your income (and whether it’s stable)
• Your outgoings (credit commitments, childcare, regular payments)
• Any existing debt
• Your credit history
• The size of your deposit
• How mortgage rates might change (they “stress test” affordability)

Online calculators can give a rough idea, but they can’t account for real-life details (bonuses, overtime, commission, student loans, childcare costs, credit commitments, etc.). A broker can help you understand what lenders are likely to accept before you apply.

How to get mortgage-ready (start 3-6 months before you apply)

A bit of prep can make a huge difference-especially if you’re aiming for a better rate.

1) Keep your finances tidy

Lenders will review bank statements and look for patterns. Try to avoid:

• Persistent overdraft use
• Gambling transactions (where possible)
• Regular “buy now pay later” commitments piling up
• Big unexplained transfers

2) Stay on top of payments

Pay bills on time (mobile, utilities, credit cards, loans). A clean payment history helps.

3) Register on the electoral roll

It’s one of the simplest ways to strengthen identity checks and credit file matching.

4) Don’t take out new credit right before applying

Multiple credit searches in a short period can reduce your score and raise questions.

5) Build visible savings habits

Regular saving helps in two ways:

• It supports your deposit story
• It shows you can manage monthly commitments

Deposit: how much do you need?

A deposit is your upfront contribution towards the purchase. Many first-time buyers aim for:

• 5% deposit (available with some lenders, criteria can be tighter)
• 10% deposit (often opens up more choice and better rates)

The bigger the deposit, the more options you usually have.

Gifted deposits (from parents/relatives)

A gifted deposit is common and accepted by many lenders, but it needs to be evidenced. Typically you’ll need:

• A gifted deposit letter confirming it’s a gift (not repayable)
• Proof of funds (bank statements)
• ID checks for the person gifting (depending on solicitor/lender requirements)

If the money is a loan, the lender may treat the repayments as an outgoing, which can reduce what you can borrow.

Agreement in Principle (AIP): when to get it

An Agreement in Principle (sometimes called a “Decision in Principle”) is a lender’s initial view of what you might be able to borrow.

It can help you:

• Understand your budget before you view homes seriously
• Show estate agents you’re a credible buyer
• Spot potential issues early (credit file, affordability, deposit evidence)

An AIP isn’t a guarantee. The full mortgage offer comes later after underwriting and valuation. But it’s a helpful early step.

The first time buyer mortgage process (step by step)

Here’s the typical journey:

1. Work out your budget (deposit + monthly payment comfort level)
2. Get an Agreement in Principle (AIP)
3. Find a property and make an offer
4. Submit the full mortgage application
5. Valuation (lender checks the property value)
6. Solicitor work begins (searches, enquiries, contracts)
7. Mortgage offer issued (subject to conditions if any)
8. Exchange contracts (you’re legally committed)
9. Complete (you get the keys)

Timescales vary, but many purchases take 8-12 weeks from offer accepted to completion (sometimes quicker, sometimes longer).

First time buyer schemes and options (what might help)

Schemes and lender criteria can change over time, so it’s worth getting up to date advice for your exact situation. Options that may help include:

Shared Ownership

You buy a share of a home (often 25%-75%) and pay rent on the rest, with the option to increase your share over time (“staircasing”). This can reduce the size of mortgage you need upfront.

95% mortgages (5% deposit)

5% deposit mortgages are available with some lenders if affordability and credit profile fit. The rate may be higher than with a larger deposit, but it can be a route onto the ladder.

Family support options

Depending on lender availability and circumstances, there are products that can involve:

• Family deposit support
• Family guarantees
• Joint borrower Sole Proprietor style (JBSP) arrangements (in some cases)

We’ll always talk you through the pros and cons and the real-world affordability.

Common first time buyer pitfalls (and how to avoid them)

• Taking new credit after your AIP (car finance / BNPL / new credit card)
• Big unexplained bank transfers (keep your deposit trail clear)
• Changing jobs mid-application (not always a problem, but flag it early)
• Forgetting extra costs (survey, solicitor, fees, moving, insurance)
• Assuming the cheapest rate is best (fees and flexibility matter too)

How we can help

Your Mortgage Expert is an impartial mortgage broker and we will help you understand:

• What you can borrow (realistically)
• What deposit route makes sense for you
• Which lenders are most likely to accept your circumstances
• What your monthly payments could look like
• What documents you’ll need and what to avoid during the process

We don’t charge for an initial consultation, and we can support clients locally in Salisbury or remotely across the UK (phone/email/video).

If you’d like us to sense-check your budget or help you get an Agreement in Principle, get in touch-we’d love to help.

Book a Mortgage Appointment