Can You Buy Without a Deposit in 2025?
It sounds too good to be true: buying a home without saving up thousands for a deposit. While true “no deposit” mortgages are rare, there are still ways to get on the property ladder in 2025 with little upfront cash.
This guide explains the options, the pros and cons, and whether they’re right for you.
95% Mortgages
The most common low-deposit option. You’ll need just a 5% deposit, and the lender covers the remaining 95%.
- Widely available in 2025 thanks to the Government’s mortgage guarantee scheme.
- A good credit score and steady income are essential.
- Rates are usually a little higher than for 10%+ deposits.
100% Mortgages (No Deposit)
Rare, but not impossible. A handful of lenders offer them with strict rules. Often these are:
- Guarantor mortgages – a family member puts up security, usually their savings or equity in their own home.
- Track record mortgages – a few lenders consider your rental payment history as proof you can handle a mortgage, even without a deposit.
? Important: These deals are niche and can be higher risk. Always get advice before jumping in.
Co-Ownership & Shared Ownership
If you can’t raise a big deposit, these schemes could help:
- Co-Ownership (Northern Ireland) – buy a share of the property (say 50%) and pay rent on the rest. You can buy more shares later.
- Shared Ownership (England & Wales) – similar setup, with housing associations.
Example: Sophie used co-ownership in Belfast, buying 50% of a £150,000 home with a 5% deposit. Her monthly payments were lower than renting, and she plans to “staircase” up to 100% ownership over time.
Pros & Cons of Low Deposit Mortgages
Pros:
- Get on the ladder sooner.
- Spend less time saving.
- Benefit if house prices rise.
Cons:
- Higher monthly repayments.
- Fewer deals to choose from.
- Higher risk of negative equity if house prices fall.
FAQs
Q: Are no deposit mortgages safe?
They can work, but they’re riskier. We’ll explain the pros and cons so you know what you’re signing up for.
Q: Do I still need money saved if it’s no deposit?
Yes. You’ll need to cover legal fees, surveys, and moving costs.
Q: What’s better — 5% deposit or wait for 10%?
With 10%, you’ll get more deals and better rates. But if you’re renting and struggling to save, 5% could still make sense.
Ready to Explore Your Options?
Low-deposit and even no-deposit mortgages do exist in 2025, but they’re not for everyone. We’ll help you work out what’s realistic, explain the risks, and find the best deal across 90+ lenders.
? Book your free consultation today and discover the smartest way to get on the ladder — whatever your deposit size.