If you’re living and working in the UK on a visa, buying a home might feel like an uphill battle. Many people wonder: Do I need a large deposit as a visa holder? The short answer is yes, often you do—but it’s not always as extreme as some make it sound. Let’s break it down step by step, so you know what to expect when it comes to deposits, mortgages, and the extra checks lenders carry out.
Why Deposits Matter More for Visa Holders
In the UK, anyone applying for a mortgage is assessed on risk. For British citizens or permanent residents, the risk is seen as lower because they have indefinite rights to stay. For visa holders, however, banks and building societies worry about two main things:
- Residency status – Will you still be in the UK when the loan runs for years ahead?
- Employment continuity – If your visa isn’t renewed, lenders worry you might leave and default on the mortgage.
Because of this, lenders usually want a bigger safety net—hence the larger deposit.
How Big a Deposit Do Visa Holders Need?
For standard UK buyers, first-time buyers can sometimes secure a mortgage with a 5% deposit through certain schemes. But for visa holders, it’s very different.
- Most mainstream lenders ask for at least 20–25% deposit if you’re on a work visa such as a Skilled Worker visa, Tier 2 visa, or Health and Care visa.
- If you’ve only been in the UK for a short period (say less than two years), some lenders may even want 30–35% to feel confident.
- On the other hand, if you have permanent residency or Indefinite Leave to Remain, you’re often treated the same as a British citizen and can access the same deposit levels as everyone else.
So, while you don’t always need a “huge” deposit, you will almost certainly need a larger one compared with a citizen who’s been here all their life.
Does the Type of Visa Make a Difference?
Yes, it does. Lenders don’t treat every visa the same.
Investor or Entrepreneur Visa holders may find lenders more open, but again, the deposit will still be higher than the average.
Skilled Worker Visa holders often need at least a 20–25% deposit.
Spouse or Partner Visa holders may have slightly more flexibility, especially if their partner is a British citizen.
Student Visa holders usually won’t get a mortgage at all, unless they have a strong guarantor or switch to a working visa first.
Other Things Lenders Look At
Deposit size isn’t the only factor. To boost your chances, lenders also check:
- Length of visa remaining – Most want to see at least 12–24 months left on your visa.
- Employment record – A stable, full-time job in the UK works in your favour.
- Credit history – If you’ve built up a positive UK credit score, it can help reduce the required deposit.
- Joint applications – If you’re buying with a British or settled partner, the lender may be more flexible.
Can You Get a Mortgage with a Smaller Deposit?
It’s not impossible, but it’s rare. A handful of specialist lenders may consider 10–15% deposits for visa holders with excellent financial profiles. These lenders usually operate through mortgage brokers rather than direct to the public, and the interest rates can be higher.
For most people, aiming for 20–25% is a more realistic target.
Practical Tips for Visa Holders Saving a Deposit
- Start early: the sooner you save, the more options you’ll have.
- Check schemes: government schemes such as Shared Ownership or First Homes may still apply, though eligibility varies.
- Speak to a broker: many mainstream banks won’t advertise their visa-holder policies clearly online. A broker who deals with international buyers daily can point you towards the right lenders.
- Build credit: use UK bank accounts, pay bills on time, and keep your credit score healthy.
Check your mortgage options.
Don’t let overseas earnings hold you back from buying in the UK.
Final Word – Do I Need a Large Deposit as a Visa Holder?
In most cases, yes—you’ll need a larger deposit than a British citizen to get a mortgage in the UK. While the average buyer might manage with 5–10%, visa holders are usually looking at 20–25% minimum. That doesn’t mean home ownership is out of reach, but it does mean planning carefully and saving more up front.
If you’re serious about buying in the UK as a visa holder, focus on building your deposit, keeping your visa status secure, and seeking advice from a mortgage specialist. With the right preparation, getting the keys to your own home in Britain is absolutely possible.
FAQs
Yes, but it’s uncommon. A few specialist lenders may allow deposits of 10–15%, though these are usually tied to higher interest rates and stricter eligibility checks. Most high street banks still expect visa holders to contribute more.
Lenders usually want to see at least 12 months left on your visa at the time of application. If your visa is close to expiry, you’ll either need to renew it first or apply with a joint applicant who has settled status.
Quite possibly. New arrivals often have little or no UK credit history, which increases the risk in the eyes of lenders. A bigger deposit helps offset that. Proving steady income and using a UK bank account regularly can help balance things out.
It can. If you apply jointly with a British citizen or someone who has Indefinite Leave to Remain, lenders may base the mortgage on their residency status. This can sometimes bring the required deposit closer to standard levels, though not always.
Yes. Some visas, such as Skilled Worker or Health and Care visas, are treated more favourably than temporary or student visas. Each lender has its own rules, so the deposit can vary depending on your visa type.
Most UK lenders accept gifted deposits, but they will want a formal letter confirming it’s a gift and not a loan. If the gift is coming from abroad, you’ll also need to show proof of the money’s source under anti-money laundering checks.
Some lenders will, but they usually prefer income paid in sterling into a UK account. Overseas funds can slow things down and may require extra documentation. Using UK-based savings accounts often makes the process easier.
In many cases, yes. Shared Ownership schemes can be open to visa holders, but eligibility depends on your visa type and your local housing association’s rules. You may still need a larger percentage deposit than a British buyer.
Remortgaging as a visa holder is possible, but the lender will still assess your visa length, employment record, and deposit equity in the property. If your circumstances have improved since your first mortgage—such as a higher salary or longer visa—you may get better terms.
Definitely, many banks don’t advertise their visa-holder policies clearly, while brokers often know which lenders are more flexible. A broker can save you time, especially if you’re unsure whether your visa status will limit your deposit options.
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