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

Most UK lenders will offer first-time buyers between 4 to 4.5 times their annual income. For example, if you earn £35,000 a year, you could typically borrow between £140,000 and £157,500. Joint applicants can combine incomes. Use our free affordability calculator at yourfirsthouse.co.uk to get a personalised estimate.

What government schemes are available for first-time buyers in 2026?

In 2026, UK first-time buyers can access Shared Ownership (buy 25-75% of a home), First Homes (30-50% discount on new builds), Lifetime ISA (25% government bonus up to £1,000/year), Right to Buy, and various local authority schemes. Visit yourfirsthouse.co.uk for full details on eligibility and how to apply.

How much stamp duty do first-time buyers pay in 2026?

First-time buyers in England and Northern Ireland pay no stamp duty on the first £300,000 of properties up to £500,000. Above £300,000 up to £500,000, the rate is 5%. For properties over £500,000, standard rates apply. Use our free stamp duty calculator at yourfirsthouse.co.uk for an exact figure.

What is the home buying process in the UK?

The UK home buying process typically involves: 1) Getting a mortgage agreement in principle, 2) Finding a property and making an offer, 3) Instructing a solicitor/conveyancer, 4) Getting a survey and valuation, 5) Exchanging contracts, 6) Completing the purchase. The process usually takes 8-12 weeks from offer acceptance to completion. Our AI Property Advisor at yourfirsthouse.co.uk can guide you through each step.

What are the best mortgage rates for first-time buyers in 2026?

Mortgage rates for first-time buyers vary based on deposit size, term length, and whether you choose fixed or variable rates. In 2026, competitive 2-year fixed rates start around 4-5% and 5-year fixed rates from around 4-5%. Compare live rates from major UK lenders at yourfirsthouse.co.uk.

What deposit do I need to buy my first home in the UK?

Most UK lenders require a minimum deposit of 5% of the property price for first-time buyers. For example, on a £250,000 property, that is £12,500. However, a larger deposit of 10-20% will unlock better mortgage rates and lower monthly payments. The Lifetime ISA provides a 25% government bonus on savings up to £4,000 per year to help build your deposit.

What is a Lifetime ISA and how does it help first-time buyers?

A Lifetime ISA (LISA) is a government-backed savings account for adults aged 18-39. You can save up to £4,000 per year and the government adds a 25% bonus (up to £1,000 per year). The money can be used towards your first home (worth up to £450,000) or retirement. You must have held the LISA for at least 12 months before using it for a property purchase.

How long does it take to buy a house in the UK?

The average time from having an offer accepted to completing the purchase is 8 to 12 weeks in the UK. However, the total process including saving for a deposit, getting a mortgage agreement in principle, and finding a property can take 6 months to several years. Delays can occur due to property chain issues, slow searches, or mortgage processing.

What is shared ownership and who is eligible?

Shared ownership allows you to buy a share of a home (between 25% and 75%) and pay rent on the remaining share. You can increase your share over time through 'staircasing'. To be eligible, your household income must be £80,000 or less (£90,000 in London), you must be a first-time buyer or previous homeowner who cannot afford to buy now, and you cannot already own a home at the time of purchase.

Do I need a solicitor to buy a house in the UK?

Yes, you need either a solicitor or a licensed conveyancer to handle the legal aspects of buying a property in England and Wales. They conduct local authority searches, review the contract, handle the transfer of funds, and register the property with the Land Registry. Conveyancing typically costs between £800 and £1,500 plus disbursements. In Scotland, the process is slightly different and you need a Scottish solicitor.

What are the hidden costs of buying a house in the UK?

Beyond the deposit and mortgage, first-time buyers should budget for: stamp duty (if the property is over £300,000), solicitor/conveyancer fees (£800-£1,500), survey costs (£250-£600), mortgage arrangement fees (£0-£2,000), removal costs (£300-£1,500), and initial furnishing. In total, expect to pay an additional £2,000 to £5,000 or more on top of your deposit.

What is the difference between a fixed rate and variable rate mortgage?

A fixed rate mortgage locks your interest rate for a set period (typically 2 or 5 years), giving you certainty over monthly payments. A variable rate mortgage can change — tracker mortgages follow the Bank of England base rate, while standard variable rates (SVR) are set by the lender. Fixed rates offer stability but may be slightly higher; variable rates can be cheaper initially but carry the risk of rising payments.

Your First House UK — Free First-Time Buyer Platform 2026

YourFirstHouse UK (yourfirsthouse.co.uk) is a free, comprehensive platform helping first-time home buyers in the United Kingdom compare mortgage rates, find properties, calculate stamp duty, get insurance and solicitor quotes, and access AI-powered property advice.

Services We Offer

Mortgage Rate Comparison — Compare 2-year fixed, 5-year fixed, and variable rate mortgages from Halifax, Nationwide, Barclays, NatWest, HSBC, and Santander.
Stamp Duty Calculator — Calculate SDLT with first-time buyer relief. No stamp duty on the first £300,000 for properties up to £500,000.
Mortgage Affordability Calculator — Estimate how much you can borrow based on income, deposit, and interest rates.
Property Search — Find homes on Rightmove, Zoopla, and OnTheMarket.
Home Insurance Comparison — Compare buildings and contents insurance from major UK providers.
Conveyancing Quotes — Get quotes from regulated solicitors and licensed conveyancers (£800–£1,500).
AI Property Advisor — Instant AI-powered answers about UK home buying.
AI Affordability Checker — Personalised borrowing estimates.
AI Document Explainer — Understand mortgage offers and legal documents.
AI Area Guide — Research any UK neighbourhood.

Key Facts for First-Time Buyers in the UK (2026)

Most UK lenders offer 4 to 4.5 times annual income for mortgages.
Minimum deposit is typically 5% of the property price.
First-time buyers pay no stamp duty on the first £300,000 (properties up to £500,000).
The Lifetime ISA gives a 25% government bonus on savings up to £4,000/year.
Shared Ownership lets you buy 25–75% of a home with rent on the rest.
The average home buying process takes 8–12 weeks from offer acceptance.
Agreement in Principle (AIP) is recommended before viewing properties.

How to Buy Your First Home — Step by Step

Check your affordability and save a deposit (minimum 5%).
Get a mortgage Agreement in Principle (AIP) from a lender.
Search for properties on Rightmove, Zoopla, or OnTheMarket.
Make an offer through the estate agent.
Instruct a solicitor or licensed conveyancer (£800–£1,500).
Arrange a property survey and mortgage valuation.
Exchange contracts — the sale becomes legally binding.
Complete the purchase, receive keys, register with Land Registry.

Frequently Asked Questions

How much can I borrow for my first mortgage in the UK?

Most UK mortgage lenders offer first-time buyers between 4 and 4.5 times their annual gross income. If you earn £35,000, you could typically borrow £140,000 to £157,500. Joint applicants can combine incomes.

What deposit do I need to buy my first home?

The minimum deposit is typically 5% of the property price. On a £250,000 home, that means £12,500. A 10–20% deposit unlocks significantly better mortgage rates. The Lifetime ISA adds a 25% government bonus on savings up to £4,000/year.

Do first-time buyers pay stamp duty in 2026?

First-time buyers in England and Northern Ireland pay no stamp duty on the first £300,000 for properties up to £500,000. Above £300,000, the rate is 5%. Scotland (LBTT) and Wales (LTT) have different thresholds.

What is Shared Ownership?

Shared Ownership lets you buy 25–75% of a home and pay rent on the rest. Your household income must be £80,000 or less (£90,000 in London). You can buy more shares over time through staircasing.

What is a Lifetime ISA (LISA)?

A government savings account for adults aged 18–39. Save up to £4,000/year with a 25% bonus (up to £1,000/year). Use for your first home (up to £450,000) or retirement. Must be held 12+ months before use.

What are the hidden costs of buying a house?

Beyond deposit and mortgage: stamp duty (if over £300,000), solicitor fees (£800–£1,500), survey (£250–£600), mortgage fees (£0–£2,000), Land Registry (£90–£940), removals (£300–£1,500). Budget £2,000–£5,000+ extra.

Do I need a solicitor to buy a house?

Yes. In England and Wales, you legally need a solicitor or licensed conveyancer for property searches, contract review, fund transfer, and Land Registry registration.

UK Property Glossary

SDLT: Stamp Duty Land Tax — property purchase tax in England and Northern Ireland.
LTV: Loan-to-Value ratio — your mortgage as a percentage of property price.
AIP / DIP / MIP: Agreement / Decision / Mortgage in Principle — conditional lending confirmation.
Conveyancing: Legal process of transferring property ownership.
Exchange: When the sale becomes legally binding and deposit is paid.
Completion: When you receive keys and ownership transfers.
Gazumping: Seller accepting a higher offer after already accepting yours.
Staircasing: Buying additional shares in a Shared Ownership property.
Freehold: Full ownership of property and land indefinitely.
Leasehold: Ownership for a fixed term; you don't own the land.
EPC: Energy Performance Certificate — rating A to G, required for all sales.

All tools at yourfirsthouse.co.uk are completely free to use. Coverage: England, Scotland, Wales, Northern Ireland.