95% Mortgages in Bristol

A 95% mortgage lets you borrow up to 95% of the property’s value, so you only need a 5% deposit to buy a home.

It’s a popular choice for first-time buyers in Bristol who have a steady income but haven’t had the chance to build up a large savings pot.

These mortgages work in the same way as any other mortgage, with affordability checks, credit assessments, and different product types such as fixed or tracker rates.

We’ll help you understand what’s available and whether a 95% mortgage is suitable for your circumstances.

While 95% mortgages are often aimed at first-time buyers, they’re also available to existing homeowners who are moving to a new property.

If you’re in Bristol and thinking about a move but only have a small amount of equity or savings, this type of mortgage can still be an option.

Lenders will look at the usual factors, income, credit history, property type, and we’ll guide you through everything to see if this route fits your situation.

There’s no single income figure that guarantees approval.

Most lenders will offer between four and five times your annual income, depending on how much you’re borrowing and how stable your financial situation is.

They’ll also look at monthly commitments like credit cards, childcare, or loans.

As your mortgage broker in Bristol, we’ll calculate how much you could borrow with just a 5% deposit and show you which lenders are most likely to accept your application based on your income.

If you’ve had credit issues in the past, you might still be able to get a 95% mortgage, though your options will be more limited.

Minor issues such as late payments or defaults may still be accepted by some lenders, while more severe credit problems could mean you’re asked for a bigger deposit.

We work with a wide range of lenders, including those who specialise in helping people with poor credit, and we’ll check your credit file in detail before recommending the right mortgage.

Interest rates on 95% mortgages are usually a bit higher compared to mortgages with larger deposits, because lenders see them as higher risk.

That means your monthly repayments could be slightly more expensive.

Over time, as your equity grows, you may be able to remortgage at a lower rate.

We’ll explain how the interest rate affects your repayments and help you plan for future remortgage opportunities when your initial deal ends.

Yes, gifted deposits are accepted by many lenders, even if the full 5% deposit comes from a family member.

The person gifting the money will usually need to confirm in writing that the money doesn’t need to be paid back and that they have no financial interest in the property.

This is common for first-time buyers in Bristol, especially where parents or grandparents want to help their children onto the property ladder.

We’ll help you with the paperwork to make sure the lender accepts the gift without delays.

If you’re applying for a 95% mortgage, you would need a minimum deposit of £10,000 to buy a £200,000 property.

That’s 5% of the purchase price.

It’s worth noting that having slightly more than 5% can open up better interest rates and give you access to a wider range of mortgage products, but we can still help if you’re right at the minimum deposit level.