First Step Mortgage - buy with a 2% deposit

Get onto the property ladder sooner with a mortgage designed for smaller deposits. With our First Step mortgage, you could buy your first home with just a 2% deposit.

View our 5 Year Fixed Rate First Step mortgage or talk to a mortgage adviser

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Buy your home with just a 2% deposit.

Buying your first home doesn't have to mean saving for years. Our First Step Mortgage could help you get on the property ladder sooner, with just a 2% deposit.

The First Step mortgage offers a 5 year fixed-rate, giving you certainty over your monthly payments during the initial period. It's available on a repayment basis, so you'll gradually reduce what you owe over time, while enjoying predictable payments while you settle into your new home.

Key features of the First Step mortgage

Minimum 2% deposit
5 year fixed rate option
Gifted deposits accepted (subject to criteria)
Get on the property ladder sooner

All mortgages are subject to application, credit scoring, affordability and lending criteria. Speak to our mortgage advisers to find out more.

Our First Step mortgage options

We offer a 5 Year Fixed Rate First Step mortgage designed to suit a range of needs and preferences.

What does a 2% deposit look like?

With our First Step mortgage, your deposit of 2% could be lower than you might expect. Meaning you could buy your first home sooner than you thought.

Examples:

Property value Deposit

£250,000 £5,000

£300,000 £6,000

Is a First Step mortgage right for you?

A First Step mortgage could be suitable if you:

Are buying your first home
Have a smaller deposit saved
Can meet our lending and affordability criteria

To find out more, explore our First Step mortgage guide to see how it works and whether it could be right for you.

You can also explore other options, like our shared ownership and low deposit mortgages to compare different ways to get on the property ladder.

Need help deciding?

Choosing the right mortgage is an important step, and we'll be here to help. Our mortgage advisers can talk you through your options, explain how much you could borrow and help you decide whether a First Step mortgage is for you.

Speak to a mortgage adviser or call us on 0345 601 3344.

Which mortgage is right for you?

2 Year Fixed Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.59%	7.39%	7.3% APRC	90%	£0	£0	£400	£999	Early Repayment Charges Apply	details

Early repayment charges - 2% in year one; 1% in year two.

2 Year Fixed Rate Mortgage - 80% LTV

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.44%	7.39%	7.3% APRC	80%	£0	£0	£400	£999	Early Repayment Charges Apply	details

Early repayment charges - 2% in year one; 1% in year two.

5 Year Fixed Rate Mortgage - Existing mortgage customers

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.54%	7.39%	6.8% APRC	80%	£0	£0	£400	£0	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two; 3% in year three; 2% in year four; 1% in year five.

2 Year Discounted Variable Rate Mortgage - 80% LTV

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
4.74%	7.39%	7.1% APRC	80%	£0	£0	£0	£499	Early Repayment Charges Apply	details

Early repayment charges - 1% in year one; 1% in year two.

2 Year Discounted Variable Rate Mortgage - No ERC

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
4.99%	7.39%	7.2% APRC	80%	£0	£0	£0	£999	Early Repayment Charges Apply	details

Early repayment charges - There are no early repayment charges.

2 Year Discounted Variable Rate Mortgage (1)

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.09%	7.39%	7.2% APRC	90%	£0	£0	£0	£999	Early Repayment Charges Apply	details

Early repayment charges - There are no early repayment charges.

Low Deposit 2 Year Fixed Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.79%	7.39%	7.3% APRC	95%	£0	£0	£0	£499	Early Repayment Charges Apply	details

Early repayment charges - 2% in year one; 1% in year two.

Low Deposit 5 Year Fixed Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.89%	7.39%	7.0% APRC	95%	£0	£0	£0	£499	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two; 3% in year three; 2% in year four; 1% in year five.

Low Deposit 2 Year Discounted Variable Rate Mortgage - No ERCs

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.34%	7.39%	7.2% APRC	95%	£0	£0	£0	£499	Early Repayment Charges Apply	details

Early repayment charges - There are no early repayment charges.

Shared Ownership 2 Year Fixed Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.79%	7.39%	7.3% APRC	95%	£0	£0	£200	£499	Early Repayment Charges Apply	details

Early repayment charges - 2% in year one; 1% in year two.

Shared Ownership 5 Year Fixed Rate Mortgage - Existing mortgage customers

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.99%	7.39%	7.0% APRC	95%	£0	£0	£200	£0	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two, 3% in year three, 2% in year four, 1% in year five.

Shared Ownership 2 Year Discounted Variable Rate Mortgage - No ERCs

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.09%	7.39%	7.2% APRC	95%	£0	£0	£200	£499	Early Repayment Charges Apply	details

Early repayment charges - There are no early repayment charges.

Interest Only 2 Year Fixed Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.44%	7.39%	7.4% APRC	70%	£0	£0	£400	£1999	Early Repayment Charges Apply	details

Early repayment charges - 2% in year one; 1% in year two.

Interest Only 5 Year Fixed Rate Mortgage - Existing mortgage customers

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.54%	7.39%	7.0% APRC	70%	£0	£0	£400	£0	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two, 3% in year three, 2% in year four, 1% in year five.

Interest Only 2 Year Discounted Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
4.74%	7.39%	7.3% APRC	70%	£0	£0	£0	£999	Early Repayment Charges Apply	details

Early repayment charges - 1% in year one; 1% in year two

Interest Only 2 Year Discounted Rate Mortgage - NO ERC

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
4.99%	7.39%	7.4% APRC	70%	£0	£0	£0	£1999	Early Repayment Charges Apply	details

Early repayment charges - There are no early repayment charges.

Credit Assist Mortgage - 2 Year Fixed Rate

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.74%	7.39%	7.4% APRC	85%	£0	£0	£400	£999	Early Repayment Charges Apply	details

Early repayment charges - 2% in year one; 1% in year two.

Credit Assist Mortgage 3 Year Discounted Variable Rate

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.34%	7.39%	7.1% APRC	85%	£0	£0	£400	£999	Early Repayment Charges Apply	details

Early repayment charges - There are no early repayment charges

Credit Assist 3 Year Discounted Variable Rate Buy to Let Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.89%	8.44%	8.0% APRC	80%	£0	£	£800	£999	Early Repayment Charges Apply	details

Early repayment charges - There are no early repayment charges

Credit Assist 5 Year Fixed Rate Buy to Let Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.94%	8.44%	7.5% APRC	80%	£0	£0	£800	£999	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two; 3% in year three; 2% in year four; 1% in year five.

Credit Assist Extra Mortgage - 2 Year Fixed Rate

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.99%	7.39%	7.4% APRC	70%	£0	£	£400	£999	Early Repayment Charges Apply	details

Early repayment charges - 2% in year one; 1% in year two.

Credit Assist Mortgage Extra - 3 Year Discounted Variable Rate

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.94%	7.39%	7.3% APRC	70%	£0	£0	£400	£999	Early Repayment Charges Apply	details

Early repayment charges - There are no early repayment charges

Help to Buy 2 Year Fixed Rate Mortgage - Existing mortgage customers

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.94%	7.39%	7.3% APRC	75%	£0	£0	£200	£0	Early Repayment Charges Apply	details

Early repayment charges - 2% in year one; 1% in year two.

Help to Buy 2 Year Discounted Variable Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
4.84%	7.39%	7.1% APRC	75%	£0	£0	£0	£299	Early Repayment Charges Apply	details

Early repayment charges - 1% in year one; 1% in year two.

2 Year Fixed Rate Buy to Let Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.54%	8.44%	8.2% APRC	80%	£0	£800	£800	£999	Early Repayment Charges Apply	details

Early repayment charges - 2% in year one; 1% in year two.

5 Year Fixed Rate Buy to Let Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.64%	8.44%	7.4% APRC	80%	£999	£800	£800	£800	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two; 3% in year three; 2% in year four; 1% in year five.

2 Year Discounted Variable Rate Buy to Let Mortgage (No ERCs)

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.24%	8.44%	8.1% APRC	80%	£0	£0	£0	£999	Early Repayment Charges Apply	details

Early repayment charges - There are no early repayment charges.

Holiday Let 5 Year Fixed Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.69%	8.44%	7.4% APRC	80%	£0	£800	£800	£999	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two; 3% in year three; 2% in year four; 1% in year five.

Holiday Let 2 Year Discounted Variable Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
4.99%	8.44%	8.0% APRC	80%	£0	£0	£800	£999	Early Repayment Charges Apply	details

Early repayment charges - 1% in year one; 1% in year two.

Expat 5 Year Fixed Rate Buy to Let Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.89%	8.44%	7.5% APRC	80%	£0	£800	£800	£999	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two; 3% in year three; 2% in year four; 1% in year five.

Expat 2 Year Discounted Variable Rate Buy to Let Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.14%	8.44%	8.1% APRC	80%	£0	£0	£800	£999	Early Repayment Charges Apply	details

Early repayment charges - 1% in year one; 1% in year two.

Retirement Interest Only Variable Rate Mortgage

Rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.19%	Not applicable	5.4% APRC	55%	£0	£0	£0	£500	Early Repayment Charges Apply	details

Early repayment charges - There are no early repayment charges.

5 Year Fixed Rate Limited Company Buy to Let Mortgage - 80% LTV

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.68%	8.44%	7.4% APRC	80%	£0	£800	£800	£999	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two; 3% in year three; 2% in year four; 1% in year five.

Retirement Interest Only 5 Year Fixed Rate Mortgage

Initial rate	RIO variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.88%	5.19%	5.6% APRC	55%	£0	£0	£400	£999	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two; 3% in year three; 2% in year four; 1% in year five.

First Step 5 Year Fixed Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.99%	7.39%	7.0% APRC	98%	£0	£0	£0	£499	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two; 3% in year three; 2% in year four; 1% in year five.

5 Year Fixed Rate Mortgage

Initial rate	Standard variable rate, currently	Overall cost for comparison	Max LTV	Application fee	Product switch fee	Further advance fee	Completion fee
5.69%	7.39%	6.9% APRC	90%	£0	£0	£400	£999	Early Repayment Charges Apply	details

Early repayment charges - 5% in year one; 4% in year two; 3% in year three; 2% in year four; 1% in year five.

Guides for you

More guides for borrowers

for borrowersShared Ownership Mortgages - everything you need to know

for borrowersFirst Time Buyers – this guide is for you!

for borrowersBuying your home; step-by-step

More guides for borrowers

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE

First Step Mortgage - buy with a 2% deposit

Buy your home with just a 2% deposit.

Key features of the First Step mortgage

Our First Step mortgage options

What does a 2% deposit look like?

Is a First Step mortgage right for you?

Need help deciding?

Which mortgage is right for you?

Results

2 Year Fixed Rate Mortgage

2 Year Fixed Rate Mortgage - 80% LTV

5 Year Fixed Rate Mortgage - Existing mortgage customers

2 Year Discounted Variable Rate Mortgage - 80% LTV

2 Year Discounted Variable Rate Mortgage - No ERC

2 Year Discounted Variable Rate Mortgage (1)

Low Deposit 2 Year Fixed Rate Mortgage

Low Deposit 5 Year Fixed Rate Mortgage

Low Deposit 2 Year Discounted Variable Rate Mortgage - No ERCs

Shared Ownership 2 Year Fixed Rate Mortgage

Shared Ownership 5 Year Fixed Rate Mortgage - Existing mortgage customers

Shared Ownership 2 Year Discounted Variable Rate Mortgage - No ERCs

Interest Only 2 Year Fixed Rate Mortgage

Interest Only 5 Year Fixed Rate Mortgage - Existing mortgage customers

Interest Only 2 Year Discounted Rate Mortgage

Interest Only 2 Year Discounted Rate Mortgage - NO ERC

Credit Assist Mortgage - 2 Year Fixed Rate

Credit Assist Mortgage 3 Year Discounted Variable Rate

Credit Assist 3 Year Discounted Variable Rate Buy to Let Mortgage

Credit Assist 5 Year Fixed Rate Buy to Let Mortgage

Credit Assist Extra Mortgage - 2 Year Fixed Rate

Credit Assist Mortgage Extra - 3 Year Discounted Variable Rate

Help to Buy 2 Year Fixed Rate Mortgage - Existing mortgage customers

Help to Buy 2 Year Discounted Variable Rate Mortgage

2 Year Fixed Rate Buy to Let Mortgage

5 Year Fixed Rate Buy to Let Mortgage

2 Year Discounted Variable Rate Buy to Let Mortgage (No ERCs)

Holiday Let 5 Year Fixed Rate Mortgage

Holiday Let 2 Year Discounted Variable Rate Mortgage

Expat 5 Year Fixed Rate Buy to Let Mortgage

Expat 2 Year Discounted Variable Rate Buy to Let Mortgage

Retirement Interest Only Variable Rate Mortgage

5 Year Fixed Rate Limited Company Buy to Let Mortgage - 80% LTV

Retirement Interest Only 5 Year Fixed Rate Mortgage

First Step 5 Year Fixed Rate Mortgage

5 Year Fixed Rate Mortgage

Guides for you

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