To buy your first home you'll usually need a deposit of at least 5%, a credit file lenders are comfortable with, and income that passes their affordability checks. We're whole-of-market mortgage advisers based in Sheffield. We'll tell you what you could borrow, which schemes you qualify for and what it will really cost, before you start viewing.
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Buying your first home can seem daunting, but we're here to guide you through each step of the process.
Sheffield remains one of the more affordable major UK cities to buy in, making it a strong starting point for first-time buyers - whether you're looking at family-friendly suburbs like Meersbrook and Woodseats or closer to the city centre. We guide first-time buyers through the process wherever in the UK you're purchasing, and you're welcome to meet our Sheffield mortgage advisers at Beehive Works.
Most lenders require at least 5-10% of the property value as a deposit. A Lifetime ISA can help boost your savings, and the government's Mortgage Guarantee Scheme helps lenders offer mortgages to buyers with a deposit as small as 5%.
Lenders each run their own checks, so there's no single score to hit. We'll help you spot anything on your credit file that could cause a problem, gather your documents and understand your budget.
With a mortgage in principle, you can start viewing properties within your budget and make offers with confidence.
Once your offer is accepted, we'll compare the whole market for the deal that suits you and submit your application to the lender. We'll liaise with your solicitor to help you through the mortgage process.
Congratulations! You've completed your purchase and can now move into your first home. We'll still be here for any future mortgage needs.
Your deposit is the biggest cost, but it isn't the only one. Budget for these too:
First-time buyers pay no stamp duty on the first £300,000, and 5% on the portion between £300,001 and £500,000. If the price is over £500,000, the relief is lost entirely and standard rates apply to the whole price.
Wales and Scotland have their own taxes and thresholds. Use our stamp duty calculator.
Yes. Most lenders accept a deposit gifted by a family member, usually with a signed letter confirming it's a gift and not a loan. Some lenders also accept gifts from other relatives or close friends. We'll check what your lender needs before you apply.
Not on the first £300,000. Between £300,000 and £500,000 you pay 5% on the part above £300,000. Above £500,000 the relief doesn't apply at all.
There are several government-backed schemes designed to help first-time buyers get onto the property ladder.
If you're aged 18 to 39 when you open it, the government adds a 25% bonus to your savings (up to £1,000 a year) until you're 50.
The home must cost £450,000 or less, and taking the money out for anything other than a first home, or before age 60, usually costs 25% of what you withdraw. Only a small number of banks and building societies offer one, so start early.
This scheme gives tenants who rent from a council or local housing association the chance to buy the home they live in.
Significant discounts may be available based on how long you've been a tenant.
A permanent government-backed scheme that helps lenders offer mortgages to buyers with a deposit of as little as 5% of the property price.
You'll still need to pass the lender's usual affordability and credit checks.
Allows you to co-own a property with a landlord (typically a council or housing association).
You can usually buy a share of between 25% and 75% (and as little as 10% on some homes), and pay rent on the rest.
New-build homes sold to first-time buyers at a minimum of 30% below market value. A home worth £300,000 would cost you £210,000, you would own all of it, and there is no rent to pay and no loan to repay.
Household income caps of £80,000 (£90,000 in London) apply, and the discount passes to the next buyer when you sell.
Announced in September 2026 and due to be confirmed at the Budget. An equity loan scheme expected to support deposits as low as 2.5%, with a 20% government-backed equity loan on new-build homes.
Not open yet. The income cap, the local price caps and the repayment terms have not been published, and nothing can be applied for until they are.
Our specialists are ready and available to give you the advice you need. Book your free, no-obligation consultation today.
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Lenders determine your borrowing capacity using income multiples, typically offering around 4-4.5 times your annual income (or joint income for couples). Beyond this initial calculation, they'll conduct a detailed affordability assessment reviewing:
An example: on a £200,000 home with a 5% deposit (£10,000), you'd need to borrow £190,000. At 4.5 times income, that needs a household income of around £42,200. Try our borrowing calculator for your own figures.
A deposit serves two crucial purposes: demonstrating your financial discipline and reducing the lender's risk. Larger deposits typically secure more favourable interest rates.
Minimum requirements:
For the most advantageous mortgage terms, aim to save at least 10-15% of the property value. Your deposit can come from savings, a Lifetime ISA, or a gift from family.
Our advisers are based at Beehive Works in Sheffield. We help first-time buyers across the city, from Meersbrook and Woodseats to the city centre, and across the UK, in person, by phone or by video. First-time buyer advice is given by our qualified team, including Robert Wilson-Rust (Senior Mortgage and Protection Adviser), and Tiffany Taylor and Katie Stoker (Mortgage and Protection Advisers), all CeMAP qualified. Meet our Sheffield mortgage advisers.
Friends Capital have existing relationships with first time buyer mortgage lenders. We search the whole market, including deals only available through brokers. Then we recommend the deal that is most appropriate to your personal circumstances. We can:
Our experienced mortgage advisers understand the challenges first-time buyers face and are dedicated to making your journey onto the property ladder as smooth as possible. We'll be with you every step of the way.
Reviewed by Zoe White CeMAP, Compliance Officer, Friends Capital. Last reviewed October 2026.
Our expert advisers are ready to guide you through the entire process, from saving for a deposit to getting the keys to your first home.
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Wondering what we charge? Your initial consultations and discussions are free, and our mortgage fee is typically £795. See our fees in full.
