What's the minimum deposit required for a mortgage

Misteek

For a 100k mortgage and a salary of 20k. No other debts... apart from credit card with limit of 5k and 500 balance.
Could we pay 5 percent deposit is that even possible especially in this crisis ?

Also what other costs should we bare in mind?

[Deleted User]

Are you trying to buy outright? Or shared ownership or shared equity or anything? 

Misteek

Outright ... all by myself mate

[Deleted User]

Give it a few weeks and 5% deals should be back but at the moment you need at least 10% and even then we only have a few lenders. Realistically its 15% as of today.   We all hope it will change in the next few weeks though

Grumpy_chap

100k mortgage and a salary of 20k is 5 times salary multiple plus a low percentage deposit together may restrict offers more.

Misteek

Is 5 percent minimum deposit usually? When lenders allow it again ?

Also what's the max the lenders will lend in terms of  salary? Ie 4 times more etc ?

[Deleted User]

Depending on income and outgoings it can be anywhere around 4.5x to 5x.  Sometimes more but thats usually for salaries like £50k and higher

5% deposit minimum unless you've got a family member willing to tie up some assets as collateral 

dimbo61

Keep saving.
Have you got a Help to Buy ISA ?
Every penny helps and if the bank of Mum and Dad can also help great

Misteek

No .. will be a first time buyer. What will ISA Do?

grumiofoundation

Misteek said:

No .. will be a first time buyer. What will ISA Do?

Help to buy isa is now closed to new applications (assume you don’t have anyway from your question). 

You could look at lifetime ISA - If eligible can get up to £1000 bonus per year (max deposit £4000) which can be used towards first home. Has to be open for 1 year before you can use for house purchase. 

https://www.moneysavingexpert.com/savings/lifetime-isas/

jazzyja

Lisa is deffo the way forward. I have one with moneybox (although their interest rate just changed so probably not the best one now) but you still get your 25% bonus from gov. Im hoping to have 8k by next May (4k before 5th April and 4k after that) and theyl top up but 2k.....i also want 100k mortgage. As others have said youl probably need more than 5% due to your earnings or lower what you want to borrow. I dont have bank of mum and dad so for me its save save save and get a low mortgage.