UK Mortgage Types 2026: Every Scheme Explained
80% of UK borrowers walk out with a 25-year fix. The other 20% know about a dozen schemes the broker rarely volunteers, including a 100% LTV one that still exists in 2026.
UK first-time buyer schemes in 2026
| Scheme | Min deposit | Best for | Key trade-off |
|---|---|---|---|
| Mortgage Guarantee Scheme | 5% | Small deposit, mainstream lenders | Higher rates than 75% LTV deals |
| First Homes (England) | Varies | Local FTBs in eligible new-builds | 30%+ discount stays with property |
| Shared Ownership | 5% of share | Buyers who cannot afford 100% | Rent and service charges on top |
| Lifetime ISA bonus | n/a (booster) | Under-40s buying under £450,000 | 25% penalty on non-qualifying use |
| Skipton Track Record (100%) | 0% | Long-term renters with payment history | No equity buffer, higher rate |
Help to Buy closed in 2023. These are the 2026 replacements.
Key takeaways
Most UK mortgages are capital-and-interest (repayment) on a fixed-rate deal of 2, 3, 5, or 10 years - that combination is the default for around 80% of borrowers.
First-time buyer schemes in 2026 include the Mortgage Guarantee Scheme (95% LTV), First Homes (30% discount), Shared Ownership, the LISA bonus, and a few 100% LTV products like Skipton Track Record.
Family-assisted options (Joint Borrower Sole Proprietor, guarantor, deposit-free with parental security) let buyers borrow more than their income alone allows without parents physically gifting cash.
Specialist mortgages (buy-to-let, offset, self-build, bridging, retirement interest-only, lifetime mortgages) cover the edge cases that the mainstream market does not.