A growing trend as borrowers age
The dream of buying a home with no deposit has long tempted first-time buyers.
While true 100% mortgages all but disappeared after the 2008 financial crisis, some lenders are cautiously reintroducing products that come close.
But how realistic are they in 2025 – and what should borrowers know before applying?
What Is a 100% Mortgage?
A 100% mortgage allows you to borrow the full purchase price of a property without putting down a deposit.
Before the crash, they were common, but today, they’re heavily regulated and offered under specific conditions only.
Modern 100% Mortgage Options
While pure 100% loans are rare, several products now cater to buyers with minimal savings:
- Guarantor Mortgages: A parent or close relative offers their property or savings as security.
- Family Springboard Mortgages: A family member deposits 5–10% of the purchase price into a linked savings account, held as collateral.
- Track Record Mortgages: Some lenders allow renters with strong payment histories to borrow up to 100% without a guarantor.
Skipton Building Society’s Track Record Mortgage, launched in 2023, is an example – offering 100% borrowing for renters with 12 months of on-time payments.
The Risks
Borrowing without a deposit leaves no cushion if property values fall. Even a small market dip could push borrowers into negative equity – owing more than their home is worth.
That’s why lenders assess 100% applications carefully, focusing on income stability, credit history, and affordability.
Alternatives to 100% Mortgages
- Shared ownership schemes let you buy part of a property and pay rent on the rest.
- Government first-time buyer programmes sometimes offer 95% mortgages with reduced fees.
- Gifted deposits from family can bridge the gap.
Isle of Wight Perspective
On the Isle of Wight, where house prices remain below the national average but wages are also lower, demand for low-deposit mortgages is high.
Local brokers say interest in 100% options is rising among younger buyers priced out of traditional routes.
Final Word
So, can you get a 100% mortgage in 2025? Technically, yes – but only in specific cases.
They can be a lifeline for renters ready to buy but without savings, yet they come with greater risks.
Expert advice is essential to ensure the deal you choose is sustainable in the long term.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
Bransgroves Mortgage Brokers is a trading name of Just Mortgages Direct Limited which is an appointed representative of The Openwork Partnership, a trading style of Openwork Limited which is authorised and regulated by the Financial Conduct Authority.
Approved by The Openwork Partnership on 12/11/2025
