If you’re a first time buyer or planning to move home, a 95% mortgage in Manchester could be a great way to get onto the property ladder with a smaller deposit. This type of mortgage allows you to borrow up to 95% of the property’s value, meaning you only need to put down a minimum 5% deposit.

This is often referred to as a 95% Loan-to-Value (LTV) mortgage, where the LTV simply represents the proportion of the property covered by the loan compared to your deposit.

What Does a 95% Mortgage Look Like in Practice?

Let’s say you’re buying a property in Manchester for £200,000:

  • Your 5% deposit would be £10,000
  • Your mortgage would cover the remaining 95%, that’s £190,000
  • The 5% you contribute is known as your equity

For many first time buyers in Manchester, this example makes homeownership feel more achievable, especially if saving for a larger deposit has been a challenge.

Use Our Mortgage Calculator

Want to know how much you could borrow or what your Loan-to-Value looks like? Try our mortgage borrowing calculator. It gives you an instant estimate based on your deposit and the property price, a great first step before speaking with one of our mortgage advisors in Manchester.

Can I Remortgage Up to 95% in Manchester?

If you’re considering a remortgage in Manchester, it may be possible to borrow up to 95% of your property’s current value, as long as you’re not looking to borrow more, pay off unsecured debts, or still have a second charge mortgage on the property.

Who Might Be Eligible?

To qualify for a 95% loan-to-value remortgage:

  • You must not be increasing your borrowing amount
  • You should have no outstanding unsecured debt included in the remortgage
  • You must not have a second charge mortgage still active

If any of the above apply, your maximum loan-to-value (LTV) will usually be capped at 90%, subject to affordability checks and eligibility.

Whether you’re looking to switch to a better deal, fix your interest rate, or simply reduce your monthly payments, we can help you explore your options for a 95% remortgage in Manchester.

Is a 95% Mortgage in Manchester the Right Fit for You?

A 95% mortgage can be a great option for first time buyers in Manchester or home movers who have a smaller deposit and want to take their first step onto the property ladder. That said, it’s not the right choice for everyone.

Because you’re borrowing a larger percentage of the property’s value, your monthly repayments will usually be higher compared to someone with a larger deposit and a lower loan-to-value (LTV). You might also find that the range of mortgage deals available is more limited, and the interest rates aren’t always as competitive as lower LTV mortgages.

Another important factor to consider is the risk of negative equity. If property prices fall and the value of your home drops below what you still owe on your mortgage, it could make it harder to sell or remortgage in the future without a financial shortfall.

If you’re unsure whether a 95% mortgage in Manchester is the best fit for your circumstances, it’s a good idea to speak with a mortgage advisor who can assess your situation and guide you toward the most suitable option.

Date Last Edited: November 25, 2025