Deposit still key for getting on the property ladder

14-Dec-2005

Aspiring homeowners still see saving for a deposit as the most important and difficult aspect of getting onto the first rung of the property ladder.

If you are interested in buying a new house within a 'gifted deposit' scheme whereby you don't need to come up with a deposit but just pay a nominal fee of £5000 click here

Despite an increase in the number of new mortgage options and competitive deals currently available to potential property buyers, having the funds to pay the deposit is seen as the biggest advantage.

To find out what you can borrow, even if you are in an adverse credit situation click here

The survey conducted by a price comparison website revealed that the best option for many first time buyers is to raise the five per cent deposit and take out a 95 per cent loan to value (LTV) deal.

"Finding that deposit isn't always easy and saving for it can seem a daunting task," explained Louise Cuming, head of mortgages at the website

"There are many deals that have been designed for the first time buyer. But the 95 per cent LTV option still opens up many more opportunities and the products are more competitive in the long run."

The survey also showed that other options such as graduate or parental guarantor mortgages could also help to ease the financial burden purchasing a property.

Click here for further information on finding a deposit

Click here to find out about the finances of borrowing with friends, i.e. to find out how much you can borrow together and what it will cost you

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