New £5,000 deposit mortgage allows homeowners to borrow up to 99%

Get the free Morning Headlines email for news from our reporters across the world Sign up to our free Morning Headlines email Sign up to our free Morning Headlines email SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy A new £5,000 deposit mortgage has been launched by a building society, enabling aspiring homeowners to potentially borrow up to 99 per cent of the property value. Yorkshire Building Society said its new fee-free deal will enable first-time buyers across England, Scotland and Wales with a £5,000 deposit to purchase a property valued at up to £500,000. open image in gallery The new mortgage is available directly to customers and via brokers through Accord Mortgages The Yorkshire’s director of mortgages, Ben Merritt, said research by the society indicates that £5,000 is the amount that could shorten the time needed for first-time buyers to get mortgage-ready. Mr Merritt said: “The society’s research among 500 first-time buyers for its Home Truths report, published in September 2023, showed that 78% of people in this category feel homeownership is becoming an elite privilege while 63% believe the UK is in danger of becoming a nation of renters.” Other lenders also offer deals for would-be homeowners who may be struggling to save for a deposit.