UK Mortgages by Deposit Situation

How does my deposit affect which UK lenders will lend to me?

UK lender appetite changes sharply at three LTV breakpoints. Up to 80% LTV (20% deposit) you have access to almost every UK lender at competitive rates. From 80% to 90% LTV (10-20% deposit) most mainstream lenders are still available, but the rate premium grows. Above 90% LTV (under 10% deposit) the pool narrows to ~30 lenders and rates jump materially. Above 95% LTV (5% deposit or less) the pool drops to a handful — typically Skipton Track Record, Accord 5K Deposit, the family-mortgage products from Family BS and Barclays, and the new 100% LTV products from Skipton and a couple of other specialists.

Can I get a UK mortgage with a gifted deposit?

Almost every UK lender accepts a deposit gifted by an immediate family member (parent, grandparent, sibling). The gifter signs a deed of gift, evidences source of funds, and confirms they have no future claim on the property. Non-family gifts (friend, employer, charity) are far more restrictive — the pool drops to roughly 10-15 lenders, with each requiring documented relationship and tighter source-of-funds evidence. A friend-gifted deposit usually can't go above 85% LTV.

What is a concessionary purchase?

A concessionary purchase is when a family member sells you a property below market value, with the discount counting as your deposit. For example: parent owns a flat valued at £200,000 and sells it to you for £160,000. The £40,000 gifted equity acts as a 20% deposit and your mortgage is on the £160,000 purchase price. Around 15-20 UK lenders accept this structure for purchases between immediate family. Some lenders extend it to wider relatives at tighter LTV. The key documentation is a recent independent valuation, a signed deed of gift covering the discount, and evidence the seller has no continuing financial interest.

Are 100% LTV (no deposit) UK mortgages real?

Yes, but only via a small number of specialist products. Skipton Track Record is the most-discussed: 100% LTV for renters with 12+ months proven on-time rent payments. Family BS Joint Borrower Sole Proprietor (JBSP) products use a parent's income to support a 100% loan to the child. Guarantor mortgages at 100% LTV exist via a few specialists but are uncommon. The full picture: 100% LTV is genuinely available on niche products with tight eligibility, but not as a mainstream option. Most low-deposit applicants are better served by 95% LTV products with a small saved deposit.