How to Save for a Mortgage Deposit
02/01/2025 by
Here we explain everything you need to know about saving a mortgage deposit.
Video Breakdown
- 0:06 - Introduction
- 0:26 - How Much Do You Need for a Deposit?
- 1:13 - Start Your Own Savings Plan
- 1:43 - Different Ways to Consider for Boosting Your Income
- 2:14 - Take Advantage of Government Schemes
View Transcript
Dreaming of owning your first home? It starts with one key step: saving for a deposit.
For most mortgages, you’ll need between 5% and 20% of the property’s value. The bigger the deposit, the better your mortgage deal.
Start by setting a realistic savings goal. Calculate how much you can set aside each month and stick to a plan.
Cut unnecessary expenses. Think about cancelling unused subscriptions or eating out less. Small changes add up!
If possible, look for ways to increase your income. This could be through overtime, a part-time job, freelancing, or selling items you no longer need. However, keep in mind that you may be required to submit a self-assessment tax return and pay tax on the extra money you've made.
Don’t forget about government schemes like Help to Buy or Shared Ownership. They can make buying your first home more affordable.
With the right plan, owning your dream home can be a reality. Let John Charcol guide you every step of the way.
Visit John Charcol for more expert advice on your mortgage journey.
Category:Guides