A 95% mortgage allows you to borrow up to 95% of a property’s value, meaning you only need a 5% deposit.
For example, if you’re buying a home priced at £150,000, a 5% deposit would be £7,500, and you’d borrow the remaining £142,500 through your mortgage lender.
This type of mortgage is popular with first time buyers in Cambridge and those moving home who want to secure a property without saving for a large deposit.
Are 95% mortgages still available?
Yes, 95% mortgages are still available, and many lenders offer them as part of their standard mortgage range. Some lenders also participate in the government’s mortgage guarantee scheme, which encourages them to offer more low-deposit products by reducing their risk.
Our mortgage advisors in Cambridge can check which lenders are currently offering 95% mortgages and help you understand the criteria involved.
Can I get a 95% mortgage?
Both first time buyers and home movers in Cambridge can apply for a 95% mortgage, but you’ll need to meet certain requirements.
This includes passing credit checks and showing that your income is enough to cover the monthly repayments. Lenders will also look at your outgoings, existing credit agreements, and overall financial stability.
Our team will carry out an affordability assessment and explain how much you’re likely to be able to borrow with a 5% deposit.
What if my credit score isn’t perfect?
Lenders take your credit history into account when assessing your mortgage application. Even for a low deposit mortgage, there are lenders who may consider applicants with less-than-perfect credit, though the interest rates could be higher.
Simple steps such as checking your credit file, keeping credit accounts in good order, and making sure you’re on the electoral roll can help improve your score. If you’re unsure where to start, our mortgage advisors in Cambridge can guide you through this.
Can my family help with the deposit?
Yes, many first time buyers receive help from parents or relatives to make up the deposit. This is commonly done through a gifted deposit, where the money is given to you without the expectation of repayment.
If you’re using a gifted deposit, the lender will usually require written confirmation from the person giving the money, along with proof of funds.
How to find a 95% mortgage?
There are different types of 95% mortgages available, including fixed rate and tracker options. A fixed rate mortgage gives you certainty over your repayments, while a tracker mortgage may offer a lower starting rate but can change depending on the Bank of England base rate.
We’ll compare the available deals and recommend the most suitable type based on your income, future plans, and attitude to risk.
Should I save a bigger deposit?
While a 5% deposit is enough to get a mortgage, saving more can often unlock better rates and lower your monthly payments. A 10% or 15% deposit can also reduce the chance of falling into negative equity if property prices fall.
That said, it’s not always practical to wait. If you’re ready to move, a 95% mortgage can be a useful way to get on the ladder sooner, especially in areas like Cambridge where property prices are rising and the market remains competitive.
Our advisors can talk you through both options and help you decide whether to buy now or save a little longer.
Speak to a mortgage advisor in Cambridge
If you’re thinking about applying for a 95% mortgage in Cambridge, our team is here to help.
We’ll check your eligibility, explain the full cost of borrowing, and find a lender that suits your situation. Whether you’re a first time buyer in Cambridge or moving home, we’ll give you clear advice every step of the way.
Book a free initial mortgage appointment to get started, we’re available seven days a week.
Date Last Edited: July 1, 2025
