95% LTV Mortgages

If you’ve saved up a 5% deposit, you’re in a great position to get moving. Right now, there are plenty of lenders offering 95% LTV mortgages, making it one of the most popular routes for first-time buyers to get onto the property ladder.

But not all 95% mortgages are created equal. Some lenders are more generous with affordability, others restrict certain property types like flats or new builds, and many have small-print criteria that can derail an application if you don’t know what to look for.

That’s where we come in. At Strive, we specialise in 95% LTV and small deposit mortgages, helping buyers secure the best deals with lenders who genuinely support low-deposit borrowers.

This guide breaks down how 5% deposit mortgages work, how much you can borrow, which lenders stand out, and how the right advice can make all the difference when buying your first home.

95% LTV Mortgage Eligibility

Getting approved for a 95% LTV mortgage isn’t just about having a 5% deposit in the bank — lenders want to see that the rest of your situation stacks up too. While plenty of lenders are open to small-deposit applications, they’ll each have their own take on what “good enough” looks like.

Here are the main factors that determine your eligibility for a 95% LTV mortgage:

• Affordability – Can your income comfortably support the mortgage amount with only a 5% deposit? Lenders will test whether you can handle repayments if rates rise. Some stretch affordability further than others, so the right lender choice really matters.
• Property type – house or flat – Whether you’re buying a house or a flat makes a big difference. Lenders are typically more flexible on houses, but flats can come with tighter lending limits. Many lenders will only go up to 85–90% LTV on flats due to perceived higher risk, especially for smaller developments or ex-local authority blocks.
• New build properties – New builds are treated differently altogether. Most lenders limit borrowing to 85–90% LTV, meaning you’ll often need a 10–15% deposit rather than 5%. This applies to both new build houses and flats. For more details, check out our guide to new build mortgages.
• Property usage – The intended use of the property matters. 95% LTV mortgages are generally only available for main residences. If you’re buying a second home or a buy to let, lenders will require a larger deposit — often 15–25%. The type of property and how it’s used play a major role in what’s available and at what rate.
• Your personal circumstances – If you’re a non-UK national, self-employed, or have a history of bad credit, lenders may ask for a larger deposit or apply tighter affordability rules. Some lenders are more flexible than others, so knowing where to look can make all the difference.

At Strive, we work with lenders who understand that not every borrower fits a perfect box. Whether you’re buying a flat, a new build, or applying as a foreign national, we’ll help you find the right 95% mortgage that actually works for you — not just on paper.

What Does a 5% Deposit Mortgage Mean?

A 5% deposit mortgage simply means a 95% loan-to-value (LTV) mortgage. You put down 5% of the property’s price, and your lender covers the remaining 95%.

For example:

• Property price: £250,000
• Deposit (5%): £12,500
• Mortgage (95%): £237,500

It’s worth noting that whether you’ve saved 5%, 7%, 9% or even 10%, you’ll usually fall into the same pricing bracket. Lenders don’t tend to reward anything between 5–9% with better rates — the real improvements only kick in once you reach a 10% or 15% deposit, where rates and product choice become much more competitive.

What are interest rates on 95% LTV mortgages?

A 95% LTV mortgage can be a brilliant way to get onto the property ladder sooner — but it comes with one clear trade-off: higher interest rates compared to lower LTV deals.

At this level, lenders see a little more risk, which means pricing reflects it. Typically, rates at 95% LTV are higher than at 85% or 90%, though still far better than they were a few years ago.

Interestingly, there’s no real pricing benefit in saving a 7–9% deposit instead of 5% — most lenders treat them the same. The first major drop in rates usually comes once you hit the 15% deposit mark, where your borrowing risk (and the lender’s) starts to ease.

If you’re unsure whether to wait and save or buy now, we can help you compare the real cost difference — often, the gap in repayments isn’t as big as you’d think.

How Much Can I Borrow with a 5% Deposit?

Affordability is one of the biggest questions for first-time buyers, and it plays a key role in 95% mortgage applications.

Most lenders will lend up to 4.5× your annual income, but there are exceptions. Some stretch to 5× or even 5.5× for borrowers with strong profiles — for example, stable employment, clean credit, and low existing commitments.

Nationwide stands out here, offering up to 6× income for certain first-time buyers, which can make a big difference if you’re looking to maximise what you can borrow with a small deposit.

It’s also worth noting that property value affects your options:

• For homes above £500,000, most lenders will want at least a 10% deposit.
• Between £600,000–£750,000, expect to need 15% or more.

That’s why 95% LTV mortgages tend to work best for homes under £500k — it’s where the market is most competitive, and where lenders are keenest to support first-time buyers.

At Strive, we’ll help you find out exactly how much you can borrow with your 5% deposit — and which lenders will stretch affordability the furthest based on your income, commitments, and property type.

Maximum LTV on Pre-Owned Flats (Non new build)

While many lenders now support 95% LTV mortgages, not all extend this to flats — especially new builds. Below are the lenders currently offering high-LTV options on non-new build flats, along with the maximum loan-to-value available.

95% LTV mortgage on New Builds

Getting a 95% LTV mortgage on a new build can be more complicated than on an older property. Lenders see new builds as slightly higher risk — mainly because values can fluctuate more in the first few years, especially if you’re buying off-plan.

Because of that, most lenders will ask for a larger deposit, and how much depends on what you’re buying:

• New build houses – Often accepted up to 90–95% LTV with the right lender, though some will still ask for at least 10%.
• New build flats – Usually capped at 85–90% LTV, and only a select few lenders stretch higher.

Let’s break it down.

Maximum LTV on New Build Flats

When it comes to new build flats, lenders tend to be much stricter. While many support 95% mortgages for houses, most reduce their maximum LTV to manage the higher risk associated with new builds.

Here’s a summary of the current lender positions on maximum LTV for new build flats:

95% LTV on New Build Houses

Buying a new build house gives you more flexibility than a flat when it comes to deposit size — but lenders still tend to be more cautious than with second-hand properties. While 95% mortgages are available, criteria can vary widely depending on the lender, developer, and your financial profile.

If you’re considering a newly built property, it’s worth reading our full guide to new build mortgages — it covers how lenders view new builds, what deposit you’ll need, and how to avoid the common pitfalls that catch buyers out.

Generally, new build houses are treated more favourably than flats, with far more lenders stretching up to 90–95% LTV, and in some cases, even 100% with the right scheme or circumstances.

Here’s a breakdown of the maximum loan-to-value (LTV) available on new build houses from key lenders:

Can I Get a 95% Mortgage as a Foreign National?

Yes — but it depends on your circumstances. Lenders will look closely at:

• Your visa type and how long is left on it
• How long you’ve lived in the UK
• Whether your income is UK-based
• If you’re buying alone or with a UK national

Some lenders allow 95% mortgages for foreign nationals with strong profiles, but others insist on 10–25% deposits. We cover this in detail in our foreign national mortgages guide.

Lenders are often more favourable if you’re buying with a UK citizen or someone with permanent residency (PR). Those who’ve lived in the UK for 3–5 years or more may also benefit from greater flexibility. In some cases, EU nationals find lenders more accommodating than those from outside Europe, while higher earners can often access additional leniency around income multiples and product choice.

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Can You Get a 95% Mortgage on a Second Home?

Buying a second home — whether it’s a holiday retreat, a place closer to family, or an investment for the future — comes with slightly different mortgage rules than buying your main residence. Lenders see second homes as higher risk, so they typically ask for a larger deposit and apply tighter affordability checks.

Your loan-to-value (LTV) limit will depend on your income, existing mortgage commitments, and how the property will be used. While some lenders stretch to 95%, most prefer you to have at least 10–25% deposit for a second home.

If you’re considering this route, make sure to check out our full guide to second home mortgages — it covers how lenders assess affordability, deposit rules, and the 5% additional stamp duty surcharge that applies.

Here’s how the maximum LTV looks across key lenders currently offering second home mortgages:

Who Offers 95% LTV Mortgages?

Plenty of high street and specialist lenders currently offer 95% LTV mortgages, including many of the names featured in the charts above. But what really matters isn’t just who’s on the list — it’s which lender is right for you.

Each lender takes a different approach to affordability, income multiples, and property type. Some are flexible on flats and new builds, others cap loan sizes or tighten criteria once property values pass certain thresholds.

The charts above give a solid overview of where lenders stand, but there’s no substitute for expert advice. The best results come from cross-referencing rates, criteria, and affordability models — something that takes market knowledge and experience to get right.

Other Factors That Impact LTV

Even if you’ve saved your 5% deposit, not every property or applicant will qualify for a 95% mortgage. Lenders take a closer look at a few key areas:

• Credit score: You’ll usually need a stronger-than-average credit profile to qualify for a 95% LTV mortgage. A clean record and solid payment history give lenders confidence you can manage the higher risk.
• Property type: Homes built with non-standard construction materials — such as concrete panels, steel frames, or timber — often require a larger deposit. The same applies to ex-local authority properties or high-rise flats, which some lenders see as higher risk. You can read more about this in our guide to non-standard construction mortgages.

Even small details like location, tenure (leasehold vs. freehold), and property age can influence how much you’ll need to put down. A good broker will know which lenders are most flexible in each scenario and where exceptions can be made.

How Strive Can Help

At Strive, we specialise in 95% LTV and small deposit mortgages, helping buyers secure their home with as little as a 5% deposit.

Because we work across the whole market, we know:

• Which lenders stretch affordability further
• Who’s flexible on property types like flats or new builds
• Which banks are open to foreign nationals or self-employed buyers
• Who offers the most competitive rates for your specific situation

We take the guesswork out of the process — matching you with the right lender first time, so you can borrow with confidence and move forward faster.

👉 If you’ve saved a 5% deposit and want expert help finding the best deal, speak to Strive today — the specialists in 95% LTV mortgages.

FAQ’S

Can You Get a 95% Mortgage with Bad Credit?

High LTV lending is all about risk — and bad credit increases it.

If you’ve had minor blips a few years ago, such as a late payment or small default, some lenders may still consider you. However, serious or recent issues like defaults, CCJs, IVAs, or bankruptcy will make securing a 95% mortgage almost impossible.

In most cases, if your credit history isn’t spotless, you’ll need a larger deposit of around 15–25% to be considered.

Can You Get an Interest-Only Mortgage with a 5% Deposit?

Options here are extremely limited. Lenders typically only allow interest-only borrowing with at least a 25% deposit and a clear repayment strategy in place.

If you only have a 5% deposit, your mortgage will almost certainly need to be on a full repayment basis, where both capital and interest are repaid each month.

Can You Get a Mortgage with Less Than 5% Deposit?

Yes, but it’s niche.

Some lenders have brought back 100% mortgages, usually tied to guarantor schemes or family support. A few others allow deposits as small as £5,000.

These products are rare, restrictive, and only available in very specific circumstances — not a mainstream option like standard 95% mortgages.