17/07/2026
It’s a great time to buy your first property with lots of choice and affordable property prices. - now you can with 2% deposit!
🏠A mortgage enabling first-time buyers to get on the housing ladder with a deposit as low as 2% has been launched by Leeds Building Society.
🏦The Start Mortgage allows borrowers to access loans worth up to five times their income.
💰The deal requires a minimum deposit of £5,000, so people would need to be buying a home worth £250,000 or more for the deposit to be as low as 2%.
The maximum loan size is £500,000 and a minimum income of £30,000 is also required.
The mortgage, which is subject to affordability assessments, is available through brokers or direct with Leeds.
The society said that self-employed people can also apply and gift deposits are accepted – meaning the “bank of mum and dad” can potentially chip in.
The five-year product has a fixed rate of 5.65% with a free standard valuation and no fee payable on completion.
Some other lenders also offer low or no deposit mortgages to help first-time buyers.
Matt Bartle, director of mortgages at Leeds Building Society, said: “Saving for a deposit remains one of the biggest hurdles for first-time buyers.
“By reducing that barrier to just 2% and combining it with flexible lending criteria, we’re helping more people move closer to owning their own home.”
Rachel Springall, a finance expert at Moneyfacts, said: “The Start Mortgage is a rare 98% loan-to-value deal and as applicants can borrow up to five times their income, this launch could make a meaningful difference for would-be homeowners who might otherwise remain stuck in the rental cycle.”
✍By Vicky Shaw, Press Association Personal Finance Correspondent
