How Much Deposit Do You Really Need in 2025?

If you’re planning to buy a home in 2025, the big question is: how much deposit do you actually need? The answer depends on more than just property price — it affects your mortgage rate, borrowing power, and buying options. This guide breaks it all down in plain terms.

What’s the Minimum Deposit in 2025?

In most cases, you’ll need at least 5% of the property price. On a £250,000 home, that’s £12,500. However, going with the minimum deposit means fewer mortgage deals and higher interest rates.

What Do Most Buyers Put Down?

In 2025, most first-time buyers put down between 10% and 15%. A 10% deposit opens the door to better mortgage rates, while 15%+ often brings premium deals and greater borrowing flexibility.

Why Bigger Deposits Save You Money

Lower mortgage interest rates = smaller monthly payments
Higher chance of approval — especially if you’re self-employed
Less risk of negative equity if prices fall

What Other Costs Should You Plan For?

Stamp duty (if above £250,000 for first-time buyers)
Conveyancing fees (£800–£1,500 typical)
Surveys and mortgage valuation (£300–£700)
Removal costs, setup fees, insurance, and decorating

Saving Tips for First-Time Buyers

Use a Lifetime ISA – the government adds 25% to your savings
Automate savings with standing orders after payday
Cut subscriptions, negotiate bills, and bank the difference

Where Property Krowd Fits In

We help you estimate realistic deposit goals, connect with brokers, and track your timeline toward buying. Our tools take the guesswork out of affordability and give you the confidence to move when ready.