Buying your own home is often a lifetime project. And it all starts with the deposit. How much do you need? How long will it take? How do you go about it? This guide gives you a concrete, step-by-step plan.
Lenders generally ask for 10% of the property price as a minimum deposit — or even 20% to access the best mortgage rates. Here's what that looks like in practice:
💡 Don't forget: On top of the deposit, budget for legal fees, survey costs and stamp duty. On a £200,000 property, expect to need £30,000 to £35,000 in total.
It all depends on how much you can set aside each month. Here's a simulation for a target deposit of £20,000:
Unlike long-term investments, a house deposit must remain accessible and safe. Here are the options that fit:
Tax-free interest, accessible at any time, protected by the FSCS up to £85,000. Ideal for the "instantly available" part of your deposit.
The government adds a 25% bonus on what you save, up to £1,000 a year — specifically designed for first-time buyers. Watch the withdrawal rules.
A good complement once you've used your ISA allowance. Compare rates regularly — they move often. Instant access is essential.
No guaranteed return, but your capital is 100% safe and prizes are tax-free. A reasonable option for part of your deposit.
What kind of property? In which area? At what price? Without a specific figure, saving stays vague. "I want to save £25,000 in 4 years to buy a £200,000 flat in Manchester" — now that's an actionable goal.
Review your income and expenses. Work out what you can realistically set aside each month. Even £300/month is £18,000 over 5 years.
A Lifetime ISA first (for the 25% bonus), then a Cash ISA, then a high-yield account beyond that. Automate the transfers on payday.
Every pound saved is another pound of deposit. Unused subscriptions, frequent takeaways, impulse buys — find the leaks and redirect them into your savings.
Monthly tracking lets you adjust course, celebrate milestones and stay motivated for the long haul. Seeing your progress is one of the strongest drivers of saving.
Create a "House deposit" savings goal, track your progress month by month and use the simulator to work out your timeline. Free.
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