Did you know you only need a 5% deposit for some of our first time buyer mortgages?
This tends to be one of the first questions we’re asked! While we’ll help you work out what you can afford, it’s important to remember that there are other costs involved with buying your first home. Things like solicitors’ fees, stamp duty and maintaining your home. It all starts with getting the right first time buyer mortgage and this is where getting advice is so valuable.
If you’ve never owned a property before, you should be able to apply for a first time buyer mortgage. A few rules apply.
There is no one size fits all answer; it all depends on your financial situation. The good news is that you will have some options, including variable and fixed rate mortgages, shared ownership and low deposit.
With self-build increasing in popularity, we’ve developed a Family Assist Self-Build mortgage where parents provide the deposit and have it returned as a final stage payment on completion of the build. We will lend to purchase the land as well as the build costs.
At the Melton, we look at each case on an individual basis and don’t use credit scoring.
You’ll find our current first time buyer mortgages below:
| Mortgage Product | Maximum Loan to Value | Initial Rate | Followed by our Standard Variable Rate | The overall cost for comparison | Product Fees | Deposit amount |
|---|---|---|---|---|---|---|
| 3 Year Discounted Rate 2.29% | 85% | 2.29% | 4.99% | 4.5% APRC | £398 |  |
|
Based on a £131,092 mortgage, secured by first charge on your main residential property, repaid on a repayment basis over a 26 year term: 36 monthly payments at a variable rate of 2.29%, (£557.98) £20,087.28. 276 monthly payments at standard variable rate (currently 4.99%), (£729.56) £201,358.56. Valuation fee on property of £167,200, payable when you apply £240 (scale applies). Application fee payable when you apply £199. Completion fee payable at time of legal completion £199. Telegraphic Transfer fee payable when you apply £25. Solicitors fees payable to your conveyancer (estimated) £360. Mortgage Discharge Fee payable at the end of your mortgage £150. Total Amount Payable £222,618.84 |
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| 3 Year Discounted Rate 2.59% | 90% | 2.59% | 4.99% | 4.6% APRC | £398 |  |
| 3 Year Discounted Rate 2.79% | 95% | 2.79% | 4.99% | 4.6% APRC |  |
|
| 3.25% 3 Year Fixed Rate | 95% | 3.25% | 4.99% | 4.7% APRC | |
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| Shared Ownership – 3.69% Fixed Rate to 31 December 2024 | 95% | 3.69% | 4.99% | 4.7% APRC | |
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| Shared Ownership – 3.59% Fixed Rate to 28 February 2023 | 95% | 3.59% | 4.99% | 4.8% APRC | |
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| Shared Ownership – 3.19% Fixed Rate to 28 February 2022 | 95% | 3.19% | 4.99% | 4.8% APRC | |
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| Shared Ownership – 2.79% Discounted Rate for Term | 95% | 2.79% | n/a | 2.9% APRC | |
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| 3.39% Fixed Rate to 31 December 2024 | 95% | 3.39% | 4.99% | 4.5% APRC | |
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