Could This 100% Mortgage Help Your Kids Buy a Home Without a Deposit?

If you have children or grandchildren stuck renting, watching house prices rise, and struggling to scrape together a deposit, there might be some long-awaited good news.

A new No Deposit Mortgage from April Mortgages could help first-time buyers purchase their first home without needing any deposit at all.

Yes, you read that correctly. For the first time in years, eligible buyers can borrow 100 per cent of a property's value, with no deposit required. Unlike past versions of 100 per cent mortgages, this one has been designed with long-term affordability in mind¹.

How does it work?

April Mortgages is offering fixed interest rates for either ten or fifteen years, which means no nasty surprises on your monthly payments. Even better, as you pay off your mortgage and your loan to value ratio improves, your interest rate will automatically reduce without you needing to do a thing.

You can also make unlimited overpayments whenever you like, and there are no early repayment charges if you want to repay using your own funds or move home before the end of the fixed term¹.

Who is it for?

This mortgage is aimed at people buying their first home who have found saving for a deposit an impossible task.

To be eligible, the buyer must:

• Be a UK resident aged under 70 (not older than 80 by the end of the mortgage term)

• Have a household income of at least £24,000

• Be buying a house, not a flat or a new build

• Choose a property worth over £75,000

• Pass a credit check and affordability assessment

It is available for home purchases only and must be used to buy the buyer’s main home. All applications will go through full underwriting checks to make sure repayments are affordable and sustainable¹.

Are there any risks?

As with any mortgage, there are things to consider. A 100 per cent mortgage can put you at greater risk of negative equity if house prices fall. This means you could end up owing more than your property is worth, which might make it harder to move or remortgage in future.

And while you do not need a deposit, there are still other costs to budget for – such as stamp duty, solicitor fees, valuation costs and moving expenses.

April Mortgages is fully regulated by the Financial Conduct Authority (FCA), and their lending decisions are based on strict rules to ensure the mortgage is suitable and affordable both now and in the long term¹.

Could this help someone you know?

If you are a parent or grandparent who has been looking for ways to help your family get a foot on the property ladder, this could be a game changer.

As always, we are here to help. If you would like to discuss this new No Deposit Mortgage or explore whether it might be the right fit for your child or loved one, just get in touch. As advisers, we have exclusive access to this mortgage and can guide you through the process step by step.

Sources:

1.      April Mortgages (2025). No Deposit. Available at: https://www.aprilmortgages.co.uk/consumer/no-deposit/           [Accessed 19 May 2025].

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Your home/property may be repossessed if you do not keep up repayments on a mortgage or other debt secured on it.

All the information in this article is correct as of the publish date 29^th May 2025. The opinions expressed in this publication are those of the authors. The information provided in this article, including text, graphics and images does not, and is not intended to, substitute advice; instead, all information, content, and materials available in this article are for general informational purposes only. Information in this article may not constitute the most up-to-date legal or other information.

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