Zero deposit mortgages in the UK: can you buy with no deposit?
True no-deposit mortgages are rare, but some 100% mortgage options are available in the UK in 2026. They are generally designed for specific types of borrower rather than offered as standard high-street products.
This page explains which no-deposit products are available, who may qualify, the risks involved, and the alternatives, including 5% deposit mortgages, that are available to a wider range of buyers.
No-deposit mortgages are limited, but several routes are available in specific circumstances.
Can you get a mortgage with no deposit?
Yes, but in limited circumstances. You generally cannot walk into a high-street lender and borrow 100% the way some buyers could before 2008.
There are, however, products designed for particular situations: track-record mortgages for renters with a strong payment history, guarantor mortgages backed by a relative, and family or springboard mortgages that use a relative’s savings or equity as security. Each has its own eligibility criteria.
A no-deposit mortgage is possible for some borrowers, while mortgages with a deposit of around 5% or less are available much more widely. Below, we cover both routes and the circumstances in which each may be suitable.
What is a zero deposit mortgage?
A zero deposit mortgage, also called a no-deposit or 100% mortgage, is one where you borrow the full value of the property. In other words, the loan is 100% of the purchase price, a 100% loan-to-value (LTV), with nothing put down upfront.
Lenders are cautious about lending at 100% because there is no equity buffer. If property values fall, a borrower can quickly owe more than the home is worth, known as negative equity. That risk is the main reason these products are limited and carefully controlled.
For context, 100% mortgages were fairly common before the 2008 financial crisis, then largely disappeared as lending standards tightened. They have since returned in more restricted forms, aimed at specific groups such as renters with a strong payment record or buyers with family support, and remain subject to affordability and credit checks.
Is there a government zero deposit mortgage scheme?
There is no general government scheme that provides a mortgage with no deposit at all.
What the government does support is low-deposit lending. The Mortgage Guarantee Scheme (now known as Freedom to Buy) helps keep 5% deposit, 95% mortgages available by giving lenders a government-backed guarantee. That is a low-deposit scheme, not a no-deposit one.
If you can raise a small deposit, you will generally have access to a much wider range of mortgages. You can read more on our low deposit mortgages page. The old Help to Buy schemes are closed and should not be confused with current support.
What no-deposit mortgage options actually exist?
A handful of genuine no-deposit and near-no-deposit routes are available in 2026. Which, if any, fits depends entirely on your circumstances.
Track record and renter mortgages (100%)
A small number of lenders now offer 100% mortgages aimed at renters who can prove a strong history of paying rent and household bills in full and on time, typically for at least 12 months. Instead of a deposit, your rental track record helps demonstrate that you can manage the payments.
A well-known market example is Skipton Building Society’s Track Record Mortgage, launched in 2023 for first-time buyers who have been renting. It illustrates the type: no deposit required, aimed at reliable renters, usually with a longer fixed rate for payment certainty, and subject to affordability and credit checks.
Products of this kind commonly ask that you have paid rent, and often household bills too, in full and on time for a set period, typically at least 12 months. There are usually conditions on how much you can borrow (for instance, the new monthly payment may need to be broadly in line with or below your current rent) and on the type and value of property. Criteria and availability vary between lenders and change over time, so this is one product among several to consider rather than a universal solution.
Guarantor mortgages
With a guarantor mortgage, a close relative, often a parent, agrees to cover the repayments if you cannot. Their support reassures the lender and can make it possible to borrow with little or no deposit. The guarantor is usually a homeowner and may need to secure their support against their own income or property, so they are taking on a genuine obligation. It is a decision for the whole family to consider carefully, ideally with advice, and the arrangement can often be reviewed or released once you have built up enough equity.
Family and springboard mortgages
These products use a relative’s savings or the equity in their home as security without requiring them to gift the money to the buyer. In a typical springboard arrangement, the family member places a sum in a linked savings account for a set period, often around five years. The money is returned, sometimes with interest, provided the mortgage is kept up to date.
Right to Buy
If you are an eligible council or housing association tenant, Right to Buy (or Right to Acquire) may give you a discount on your home’s price. Because the discount reduces the amount you need to borrow, some lenders will accept it in place of a cash deposit, effectively letting you buy with no money down. The size of the discount depends on how long you have been a tenant and the type of property, and eligibility rules differ across the UK, so it is worth checking the current position for your area before you count on it.
| Option | Who it may suit | What you usually need |
|---|---|---|
| Track record / renter mortgage (100%) | Reliable long-term renters, often first-time buyers | 12+ months of on-time rent and bills, clean recent credit |
| Guarantor mortgage | Buyers with a relative willing to guarantee repayments | A guarantor, usually a homeowner, and a stable income |
| Family / springboard mortgage | Buyers whose family can help without gifting cash | A relative’s savings or property equity as security |
| Right to Buy | Eligible council or housing association tenants | Qualifying tenancy and an eligible property |
Availability and criteria vary by lender and can change. These are examples, not offers.
Can you get a no-deposit
mortgage with bad credit?
Getting a no-deposit mortgage with adverse credit is difficult. Few lenders are willing to combine 100% LTV with significant credit issues, so the range of available products is very limited.
In this situation, the practical options are usually to improve your credit profile, add family support, or build a small deposit before applying:
- Improve your credit over the coming months by correcting errors, reducing debts and keeping payments on time.
- Consider a guarantor, whose support can offset some of the lender’s concern.
- Save even a small deposit. Reaching 5% gives you access to a much wider range of products, including some specialist lenders that consider adverse credit.
Improving your credit profile or saving a deposit may make more mortgage options available later.
Zero deposit vs low deposit: which is realistic?
| Zero deposit (100%) | Low deposit (95%) | |
|---|---|---|
| Availability | Very limited, specific products only | Widely available across many lenders |
| Interest rates | Usually higher | Generally lower than 100% deals |
| Who it suits | Reliable renters, or those with a guarantor or family support | Most first-time buyers and home movers |
| Negative equity risk | Higher, as there is no equity buffer | Lower, but still present |
If you can raise a modest deposit, a 95% mortgage will usually give you a wider choice of lenders and products. To see how 5% mortgages and the schemes that support them work, explore our low deposit mortgages page.
Pros and cons of a no-deposit mortgage
Whether a zero deposit mortgage is suitable depends on your circumstances, the product available and the alternatives you have.
Potential benefits
- Buy without first saving a cash deposit, which may help renters who find it difficult to save while covering their current housing costs.
- Buy sooner rather than waiting to build a deposit while continuing to rent.
- Start building equity, as each repayment gradually increases the share of the property you own outright.
Points to weigh
- Higher interest rates, reflecting the extra risk to the lender, which means higher monthly payments than a lower-LTV deal.
- Negative equity risk, because you start with no equity, so a fall in prices can leave you owing more than the home is worth.
- Stricter criteria, including strong credit, a clean rental record and, often, a guarantor or family support.
- Less room for manoeuvre early on, since remortgaging or moving in the first few years is harder when you have little or no equity.
- For some renters with a strong payment history, a no-deposit mortgage may provide a route to buying sooner. For others, building even a small deposit can provide access to lower rates, more products and a larger equity buffer. Compare the costs, criteria and risks of both routes before deciding.
Can you get a low deposit mortgage with bad credit?
It can be harder to get a low deposit mortgage with adverse credit, but it may still be possible. Combining a small deposit with credit issues narrows the range of lenders and products available, and the rates offered may be higher.
Specialist lenders consider applications that high-street lenders may decline, often through manual underwriting that looks at your full circumstances rather than a simple automated score. The type, size and age of any credit issues all matter, and marks generally carry less weight as they get older.
A broker can be particularly useful in this situation by identifying lenders whose criteria fit your credit history and circumstances. This can reduce the risk of unsuitable applications and unnecessary credit checks.
Pros and cons of a low deposit mortgage
A low deposit mortgage can help you buy sooner, but borrowing at a high LTV also comes with costs and risks to consider.
Estimate your borrowing
- Buy sooner. You can get onto the property ladder without waiting years to save a larger deposit.
- Stop renting earlier. Your payments go towards a home you own rather than a landlord’s.
- Access to different routes. Standard mortgages, schemes and specialist lenders can provide options for buyers with smaller deposits.
Points to weigh
- Higher rates. Expect a higher interest rate than a lower-LTV deal, at least to begin with.
- Higher monthly payments. A larger loan and a higher rate mean higher repayments.
- Negative equity risk. With little equity, a fall in house prices could leave you owing more than the property is worth. This becomes particularly important if you need to sell or remortgage while the property’s value is below the outstanding mortgage balance.
These risks should be considered alongside the benefits when deciding how much to borrow and which mortgage to choose.
How to get a no-deposit mortgage
If you are considering a no-deposit mortgage, the application process generally involves the following steps:
- Speak to a mortgage broker. A broker can review your circumstances and explain which no-deposit mortgage options may be available to you.
- Review your credit and circumstances. Your broker will look at factors such as your credit history, income and whether a track-record or guarantor mortgage could be suitable.
- Check lender eligibility. Your broker can compare specialist lender criteria and identify suitable options before an application is made.
- Get an Agreement in Principle. Your broker can help arrange an AIP to give you an early indication of what a lender may offer.
- Submit your mortgage application. Your broker will apply to the selected lender and support you through the process to your mortgage offer.
No-deposit mortgage calculator
Because 100% products are specialist, a general calculator can only give a rough idea. As an illustration, on a £200,000 property with a 100% mortgage you would be borrowing the full £200,000, with no deposit reducing the loan.
The key point is that both your monthly payments and the income a lender wants to see tend to be higher than for a lower-LTV purchase, because you are borrowing more and usually paying a higher rate. To model a realistic 5% purchase, use the calculator on our low deposit mortgages page.
What are the risks?
Preparing your paperwork in advance can reduce delays. Lenders typically ask for:
No-deposit mortgages carry specific risks worth understanding before you commit.
- Negative equity. With no deposit, even a small fall in house prices can leave you owing more than the property is worth. As a simple illustration, if you borrow the full £200,000 to buy a £200,000 home and its value drops to £190,000, you would owe £10,000 more than it is currently worth. This matters most if you need to sell or remortgage in the early years, before your repayments have built up equity.
- Higher monthly payments. Borrowing 100%, usually at a higher rate, means larger repayments than a lower-LTV deal.
- Rate exposure. A fixed rate gives certainty for a set period, which is valuable when you have no equity buffer. Planning to stay put for several years also helps you build equity and ride out short-term price moves.
These risks should be considered carefully when comparing a 100% mortgage with lower-LTV alternatives.
Why get no-deposit mortgage advice from Smart City Mortgages
Smart City Mortgages is an FCA-authorised mortgage broker. No-deposit and specialist products are not always visible on the high street, so having someone compare a wide range of lenders, including those offering track-record and guarantor mortgages, can make a real difference.
We can assess whether a no-deposit route fits your circumstances or whether a 5% or less deposit would give you access to more suitable terms and products. We can also help identify lenders whose criteria match your application before you apply.
Speak to an adviser about your options
Frequently Asked Questions
Yes, in limited circumstances, mainly through track-record, guarantor or family mortgages, and in some cases via Right to Buy. These are specialist products with specific criteria, not the general high-street lending that was available before 2008, so it helps to check which, if any, you might qualify for.
No. There is no general government no-deposit scheme. The government supports low-deposit lending (5%) through the Mortgage Guarantee Scheme, which you can read about on our low deposit mortgages page.
Sometimes. First-time buyers who are reliable renters may qualify for a track-record mortgage, and those with family support may use a guarantor or springboard product, subject to the lender’s criteria.
This is very difficult, as lenders rarely combine no deposit with adverse credit. Improving your credit, using a guarantor, or saving even a small deposit usually opens more realistic options.
Age alone is not usually a barrier, but lenders look at the mortgage term against your expected retirement age and how your income will hold up over that period. A shorter term can mean higher monthly payments, which affects affordability. A no-deposit product at 50 or above is possible in principle, but it depends closely on affordability, your credit profile and the lender’s maximum age policy, so advice is particularly helpful here.
Generally, yes. Borrowing 100% is higher risk for the lender, which is usually reflected in a higher interest rate than a lower-LTV deal.
It is a type of 100% mortgage that uses your history of paying rent and bills on time, instead of a cash deposit, to support your application. It is aimed at reliable long-term renters.
It can be suitable for some renters who have a strong payment history but find it difficult to save a deposit alongside their rent. For many other buyers, a small deposit can provide lower rates, more choice and a lower risk of negative equity. Compare the total cost and eligibility criteria of both routes before deciding.
Often, yes. A guarantor mortgage uses a relative’s income, savings or property to support your application, which can make no-deposit lending possible. The guarantor takes on a real commitment, and could be asked to cover payments or risk their own asset if things go wrong, so it needs careful thought and, ideally, advice for everyone involved. In many cases the guarantee can be reviewed or released once you have built up sufficient equity.
Ready to explore your options?
We can assess whether a no-deposit mortgage fits your circumstances and compare it with low-deposit alternatives.
- Check what you could borrow
- Speak to an adviser
- Explore low deposit mortgages
Our mortgage advisers can help you compare the no-deposit and low-deposit options available to you.
Smart City Mortgages is authorised and regulated by the Financial Conduct Authority (FCA). Your home may be repossessed if you do not keep up repayments on your mortgage. With a 100% mortgage in particular, there is a risk of negative equity if property prices fall, which means you could owe more than your home is worth. The information on this page is general and does not constitute financial advice. Product availability, eligibility and rules can change, so please check current guidance before applying.
