Some first-time buyers can put down deposits of 10% – 15%, but generally deposits sit in the 20% – 25% range, especially if you are already on the housing ladder or are looking to upsize. 

If you are borrowing a significant amount, a lender may require you to put down a larger deposit. A lender may let you put less down in other cases, but this will tend to be for VIP borrowers and those with a very high income in combination with a significant net worth. Some private banks offer 100% mortgages if you can put forward relatively significant assets under management, for example. It is worth noting that sometimes, you may find it advantageous to put down a larger deposit if it means you benefit from better rates in the long-term – your broker will be able to explain your options on this.

LTV stands for loan-to-value. The loan-to-value ratio refers to how much you borrow as a percentage of the property’s value. Amongst other things, lenders use the LTV to assess risk – generally, the higher the LTV, higher the risk for the lender. 75% or 80% LTV is usual for the majority of mortgages, although some lenders offer higher LTV mortgages for the right borrowers – usually high-net-worth individuals.

The shortest mortgages have terms of 2-3 years, but these tend to be rare and used in particular scenarios. At the other end of the scale, it is sometimes possible to have 40-year mortgages, but these tend to be offered to mainstream borrowers with good income looking to maximise what they can borrow, rather than the norm for high-net-worth individuals.  

For high-net-worth individuals, mortgages with terms of 5 to 25 years are typical, although mortgages in the 5-to-15-year range tend to be the most usual.