Buying your first home in 2026 has its own unique challenges. Rising property prices and increased living costs create obstacles for first time buyers looking to secure their first house. This means it is vital to understand the current landscape and plan accordingly.
Over the past few decades, house prices have grown much faster than wages, meaning first-time buyers have to save larger deposits whilst managing rent or living expenses. A first mortgage is not an easy task, it requires financial preparation and expert guidance to navigate successfully.
Luckily, we do have some good news. 2026 presents more possibilities than recent years. Low-deposit mortgage products are widely available and government schemes continue to support first time buyers entering the market.
What Deposit Do You Really Need for Your First Mortgage?
We often hear first time buyers assuming that they need 20% saved ahead of applying for a mortgage. However, many lenders offer first mortgages with deposits as low as 5-10%, making buying a house significantly more accessible than before. However, it is important to remember that lower deposits come with higher interest rates, as lenders charge more to offset the increased risk.
A first time homeowner on a tight budget should ideally consider a 10% deposit, balancing affordability with more competitive mortgage rates. Whatever your situation may be, it is important to understand what you can afford to save as it will determine your timeline for buying a house.
Are Government Schemes Still Available for First Time Buyers?
The First Homes Scheme remains the primary government support for first time buyers, with discounts of 30-50% on new-build properties. The Lifetime ISA continues to offer a 25% government bonus on savings, supporting first time buyers to gather deposits faster. These schemes can be really positive to reduce the financial pressure on first time buyers.
However, stamp duty relief for first time buyers was partially removed in April 2025. Properties costing more than £300,000 now incur stamp duty tax, this should be factored into your purchasing costs. It is important to understand which scheme you qualify for to ensure that you maximise the available support.
How Can You Prepare Financially for Buying a House?
Preparation for buying a house begins months before searching for the house. You should review your credit file, build your deposit savings and understand your monthly costs including mortgage payments, surveys, conveyancing fees and moving expenses.
It is important to calculate how much you can borrow based on your income and existing commitments. Many first time buyers underestimate the total costs beyond the deposits.
It is also important to consider obtaining an ‘Agreement in Principle’ too.
Should You Work With a Mortgage Broker?
You will benefit from professional guidance. A mortgage broker accesses deals across multiple lenders, supporting first time buyers to find the best mortgage rates for their circumstances. They navigate the complex regulations, handle application paperwork and liaise with lenders on your behalf.
As a first time buyer, working with specialists can remove uncertainty and prevent avoidable costly mistakes. Expert advisors will assess your affordability and explain your options, seamlessly guiding you through the process.
How Can Stuart Brown Mortgage Services Help You Navigate the Market?
Buying a house is the biggest purchase that most people will make. First time homeowners deserve expert support to navigate today’s challenging market with confidence.
At Stuart Brown Mortgage Services, we specialise in supporting first time buyers at every stage, assessing your financial position, exploring government schemes, explain mortgage options and help you move forward with confidence.
Get in touch today to discuss your first time buyer goals and discover how we can support your journey to becoming a first time homeowner.
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