First Time Buyer Mortgage Advice

With over 40 years’ experience, Ward Goodman provides clear, independent mortgage advice for first time buyers, helping you understand your options, secure the right deal, and move forward with confidence.

What Is A First Time Buyer Mortgage?

A first time buyer mortgage is designed for people purchasing their first home and typically offers products tailored to those with smaller deposits or limited borrowing history. These mortgages can include lower deposit requirements, government-backed schemes, and flexible affordability criteria. Choosing the right mortgage involves understanding interest rates, repayment terms, and lender requirements – which is where clear, independent advice can make a real difference.

How Much Could You Borrow?

When you’re buying your first home, the amount you could borrow for a mortgage depends on your personal finances, income and deposit size. Lenders generally look at your annual income, financial commitments and the size of your deposit to work out how much they’re willing to lend you.

A common way lenders estimate borrowing capacity is by using an income multiple – a figure that represents how many times your yearly income they may be prepared to lend. Most lenders will offer somewhere around 4 to 4.5 times your income as a starting guideline, though this can be higher in certain circumstances, particularly for higher earners or strong financial profiles.

For example:

Annual income (sole applicant) = £35,000 × 4.5 = £157,500
Deposit saved = £25,000
Maximum potential mortgage = £157,500
Property price you might afford = mortgage + deposit = £182,500

In this example, a first time buyer earning £35,000 with a £25,000 deposit might be able to borrow approximately £157,500. Combined with the deposit, they could be looking at properties priced around £182,500. This is only an illustration — actual borrowing capacity will vary depending on your full financial profile, living expenses, credit history and lender criteria.

A mortgage adviser can give you a more accurate estimate based on your exact income, outgoings and deposit, and help you explore the options that suit your circumstances.

What You Need To Apply

To start a first time buyer mortgage application, lenders will typically ask for a set of financial and personal documents so they can assess your suitability, affordability and verify your complete profile:

  • Proof of Identity & Address Valid photo ID (such as passport or driver’s licence) and a recent utility bill or bank statement confirming your current address.
  • Deposit Evidence Clear details showing your deposit funds and where they are held (savings accounts, gifts from family, sale proceeds).
  • Income Evidence Recent payslips if employed, or the latest two years of tax returns/SA302s if self-employed.
  • Bank Statements Recent statements showing income, regular outgoings, and cashflow patterns.
  • Credit History Information Details of any existing loans, credit cards, or adverse records that could affect lender affordability checks.
  • Property Details Information about the property you want to buy (address, price, tenure) to help lenders verify the loan amount and criteria.

How To Apply

To apply for a first time buyer mortgage you’ll typically:
  • Check Your Eligibility Lenders usually require you to be a UK resident aged 18 or over with a sufficient deposit, stable income and a reasonable credit history.
  • Book a Meeting With an Adviser Speak with a first time buyer mortgage specialist who can help you identify suitable lenders and products tailored to your situation.
  • Gather Required Documents Collect proof of identity, income evidence, bank statements, deposit details and property information to support your application.
  • Submit Your Mortgage Application This may be completed with support from your adviser or mortgage broker, who will handle the lender submission and chase updates on your behalf.
  • Receive a Decision and Complete Once approved, your adviser will help with the legal and administrative steps so your mortgage offer is issued and you can proceed to exchange and completion.

Meet Our First Time Buyer Mortgage Advisers

Our mortgage advisers offer an independent advice, helping you explore your options and find you the most suitable first time buyer mortgage.

Adrian Seager

Financial Planner

Our Property Finance Services

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Helping landlords and investors secure financing for rental properties, ensuring the best mortgage rates and terms for long-term profitability.

Re-Mortgaging

Reviewing existing mortgage deals to secure better interest rates, reduce monthly repayments, or raise additional capital.

Equity Release Schemes

Guidance on accessing capital from your home through lifetime mortgages or home reversion plans while maintaining financial stability.

First-Time Buyer Mortgages

Helping first-time buyers navigate the mortgage process, ensuring access to competitive rates and government-backed schemes where applicable.

Frequently Asked Questions

Below you will find the most common questions we are asked about first time buyer mortgages.

A first-time buyer mortgage is a standard mortgage product for people purchasing their first home. It works like any other mortgage – you borrow money from a lender and pay it back with interest – but many lenders offer specific deals or higher loan-to-value options aimed at helping buyers with smaller deposits get on the property ladder. You agree a term and interest rate, and the monthly repayments are set accordingly.
Most first-time buyers need a minimum 5% deposit of the property price, though having a larger deposit — such as 10% or 20% — can help you secure better deals and lower interest rates. For example, on a £200,000 home, a 5% deposit is £10,000, while a 10% deposit is £20,000.
How much you can borrow depends mainly on your income, credit history and outgoings. Lenders typically use income multiples (often around 4–4.5× income) to calculate borrowing capacity, though some lenders now consider up to 5.5× income or more in certain circumstances. Joint applications can increase borrowing potential if both incomes are considered.
First-time buyer mortgage rates vary by lender, deposit size and market conditions. You can typically find fixed-rate, variable-rate and tracker mortgages. Deals with smaller deposits (like 95% or 90% LTV) often carry higher rates than those with larger deposits, and rates change frequently depending on the Bank of England base rate and lender pricing.

Yes – there are several UK government or supported schemes to help first-time buyers:

  • 95% mortgage / Mortgage Guarantee Scheme – allows home buying with around a 5% deposit.

  • First Homes scheme – provides homes at a 30–50% discount to eligible first-time buyers in England.

  • Shared Ownership – buy a share of a property (e.g., 25–75%) and pay rent on the rest.

  • Other support like Lifetime ISAs and other regional schemes may also help.

In addition to your deposit and monthly mortgage payments, you should budget for:

  • Mortgage arrangement or product fees

  • Valuation and survey costs

  • Legal fees (conveyancing)

  • Stamp Duty/Land Tax (may be reduced for first-time buyers)

  • Insurance and moving costs

These vary by property price and lender.

Yes – being self-employed doesn’t automatically disqualify you from a mortgage. Lenders will want evidence of income stability, often using your two most recent years of tax returns and accounts. In some cases, one year’s trading may be considered if your income is clear and stable.
A mortgage application typically takes 4–8 weeks from offer to completion once all documentation is submitted, but the overall homebuying process (finding a property, surveys, legal work) can take longer. Getting organised early and having documents ready can speed this up.

You’ll usually need:

  • Proof of identity and address (passport, driver’s licence, utility bill)

  • Income evidence (payslips, P60s, tax returns if self-employed)

  • Bank statements (recent)

  • Details of your deposit and source of funds

These help lenders assess affordability and verify your financial position.

Using an independent mortgage adviser can be very helpful – especially if you’re unsure about the best deals, have a small deposit, or have complex income situations (like self-employment). Advisers can shop the market for you, explain options and help with paperwork, often increasing your chances of securing a suitable mortgage.

How Our Property Finance Experts Can Help

Tailored Property Finance Advice 
Our financial specialists provide tailored advice for individuals, investors, and businesses looking to finance property purchases or release funds from existing assets.

Mortgage & Refinancing Solutions
Whether you’re a first-time buyer seeking guidance on mortgage options, a landlord expanding a property portfolio, or a homeowner looking to refinance, we help you access the best financial products for your situation.

Equity Release & Wealth Unlocking
We also offer expert support on equity release schemes, allowing homeowners to unlock value from their property in a tax-efficient way while maintaining financial security.

Market-Wide Lending Support
With access to a broad range of lenders and mortgage providers, we ensure you receive unbiased, market-wide advice to secure the most competitive terms.

The Process

A hassle free onboarding process

Initial referral or inquiry

Whether you’ve been referred or inquired yourself, our team will reach out to you in a timely manner

Free consultation

We offer a no-cost, no-obligation meeting at one of our offices, or over the phone

Quote and setup

We’ll provide you with a tailored quote and when you’re ready, our tax advisors will begin services

Book a Meeting

If you would like to discuss further, please book a meeting with an experienced member of our team. Simply let us know when’s best for you and we will get in touch to arrange a suitable time.

Why Choose Ward Goodman?

Client satisfaction is paramount to us. We have a broad range of clients, and we endeavour to offer them the best tax planning service possible through continuous improvement and focus on doing things right the first time.

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Our Dorset-based team can advise and support any size of business locally or nationwide.

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From our Financial Advisors to Pension Advisors.

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