First-time buyer? This guide covers deposits, stamp duty, mortgage types and hidden costs. Written by Will Sharman of Mortgage Brokers Near Me, it explains the process step-by-step and shows how we can help you buy with confidence.
Jul 28, 2025
As a first-time buyer, you don’t have a property to sell, which often makes you a more attractive buyer to sellers and estate agents. But you’ll also face new challenges:
By preparing early, especially around your deposit and credit profile you’ll save time and avoid unnecessary stress later.
Most first-time buyers put down at least 10% of the property value, but there are mortgages available with deposits as low as 5%. The bigger your deposit, the better your mortgage rate and the lower your monthly payments will be.
If you’re struggling to save, the Lifetime ISA (LISA) offers a 25% government bonus on savings up to £4,000 per year. That means an extra £1,000 annually toward your deposit if you qualify.
Set a realistic budget using our mortgage calculator to see what you can comfortably afford.
"We’ve helped countless first-time buyers secure their first home, and the same thing always happens – the moment they get that Mortgage in Principle, the process starts to feel real and exciting." – Will Sharman
Stamp Duty Land Tax (SDLT) is a tax you pay when buying property. As a first-time buyer, you benefit from reduced rates.
Current first-time buyer relief (England):
Example:
For a £350,000 home, you’ll pay 0% on the first £300,000 and 5% on the remaining £50,000 a total of £2,500.
Knowing this upfront helps you budget and avoids last-minute surprises. Factor in future costs like protection – our mortgage protection services can help here.
Mortgages come in a few main flavours. Here’s what first-time buyers need to know:
Tip: If you’re unsure which suits you, a broker can compare the numbers based on your deposit, income and how long you plan to stay in the property. Once your fixed term ends, you may look at a remortgage to keep costs low.
Saving for a deposit is only part of the picture. Here are other costs first-time buyers often forget:
There are several schemes worth checking:
Each has eligibility criteria, so it’s worth speaking to a broker to see if you qualify.
Mortgages come in a few main flavours. If you’re weighing up whether to go direct to your bank or use a broker, our guide on mortgage broker vs bank breaks down which option gives better value in 2025.. Before applying:
These steps can make the difference between getting the rate you want and paying more than you need to.
Here’s what the journey usually looks like:
Set a realistic budget and speak to a broker to understand what you can borrow.
This shows estate agents you’re serious and gives you a clear price range.
Shortlist properties, view them at different times of day, and check for potential issues like damp or outdated electrics.
Don’t be afraid to offer below asking price, especially if the property has been on the market for a while.
Your solicitor handles legal checks, searches and contracts.
Submit a full application and arrange any required surveys or valuations.
Contracts are signed, funds are transferred, and you get the keys to your first home.
Owning a home doesn’t end with getting the keys. Plan for:
Do first-time buyers always get stamp duty relief?
No, relief applies up to £500,000 purchase price. Anything higher follows standard rates.
How long does it take from offer to completion?
Typically 8–12 weeks, though it can be quicker or slower depending on the chain.
Is it better to buy a new build or an older property?
New builds can mean lower maintenance but may come with leasehold restrictions. Older properties offer character but can need more work.
"One of the biggest wins for our first-time buyers is realising they don’t have to do this alone – once they see the numbers clearly laid out, everything suddenly feels achievable." – Will Sharman
Buying your first home doesn’t need to be overwhelming. At Mortgage Brokers Near Me, we help first-time buyers every day from explaining your options in plain English to finding the best mortgage deal for your situation.
Ready to get started? Get in touch here and let’s talk through your plans.
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Stamp duty could be replaced with an annual property tax on homes over £500,000, shifting the cost from buyers to sellers. First-time buyers might benefit from lower upfront costs, but sellers could push up asking prices, and downsizers may lose out. Nothing is confirmed yet, but changes could reshape affordability and borrowing power. The key is to plan with today’s rules while staying prepared for tomorrow and that’s where Mortgage Brokers Near Me can guide you.
Read ArticleIf you’re buying, moving, or remortgaging, speak with a MBNM adviser and get clear guidance on what’s realistically available to you, before you commit to anything.
Your Home (or property) may be repossessed if you do not keep up repayments on your mortgage or any other debts secured on it.
Mortgage Brokers Near Me LTD is an Appointed Representative of The Right Mortgage LTD which is authorised and regulated by the Financial Conduct Authority.
The guidance and/or information contained within this website is subject to the UK regulatory regime and is therefore targeted at consumers based in the UK. The Financial Conduct Authority does not regulate Will Writing and some forms of Trusts and Buy to Lets. A fee may be charged for mortgage advice. The exact amount will depend on your circumstances.
Mortgage Brokers Near Me LTD are registered in England and Wales with company number 15189091.
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