How to Save for a House Deposit in the UK as a Migrant (2026)
Quick answer: Most UK mortgages need a minimum deposit of 5% of the property price, though visa holders without Indefinite Leave to Remain (ILR) are often asked for 10–15%, or more with limited UK credit history. The fastest way to build one is a Lifetime ISA (25% government bonus, up to £1,000 free a year) combined with a regular saver account, while building UK credit history in parallel so you qualify for better mortgage rates once your deposit is ready.
Buying a first home is hard enough for anyone in the UK right now — for a migrant, it comes with extra questions. How big a deposit will you actually need if you’re on a visa rather than a British passport? Does your time in the UK count against you? And which savings products are actually worth using? This guide answers all three, with a practical savings plan you can start today.
How Big a Deposit Do You Actually Need?
The absolute legal minimum for a UK mortgage is a 5% deposit (a “95% loan-to-value” mortgage), meaning a £12,500 deposit on a £250,000 home. In practice, migrants and visa holders often need more:
| Your status | Typical minimum deposit |
|---|---|
| British citizen / Indefinite Leave to Remain, good UK credit history | 5–10% |
| Skilled Worker, Health & Care Worker, Spouse visa, 12+ months UK credit history | 10–15% |
| Recently arrived, limited or no UK credit history | 15–25% |
| Visa with less than 12 months remaining, or living overseas | 25%+ (specialist lenders) |
These figures vary a lot by lender, so they’re a general guide rather than a rule. The trend is consistent though: the shorter your UK track record and the less time left on your visa, the larger a deposit you should plan for. Building UK credit history and staying in stable employment for 12 months or more can meaningfully lower the deposit lenders ask for.
Building UK Credit History Alongside Your Deposit
Deposit size is only half the equation — lenders also look at your UK credit file, and most migrants start with none at all. Building this up in parallel with your savings means you won’t be stuck with a strong deposit but a weak application. Register on the electoral roll if eligible, open a UK current account and use it regularly, and consider a credit-builder card that you pay off in full each month.
For a full walkthrough, see our guide on how to build your credit score from scratch and our roundup of migrant-friendly credit cards.
The Best Savings Tools for a House Deposit
1. Lifetime ISA — the single most valuable tool available
A Lifetime ISA (LISA) lets any UK resident aged 18–39 save up to £4,000 a year toward a first home, with the government adding a 25% bonus — up to £1,000 free money annually. To use it penalty-free, the account must be open at least 12 months, the property must cost £450,000 or less, and you must be a genuine first-time buyer (meaning you’ve never owned property anywhere in the world). Withdraw the money for anything else and you lose 25% of what you take out, so only use a LISA if you’re confident about buying within the cap. For the full rules, see our complete Lifetime ISA guide.
Moneybox
Offers both a Cash LISA and a Stocks & Shares LISA, useful if your house-buying timeline is uncertain and you want the flexibility to switch strategy.
2. A regular saver account for money you’ll need sooner
Regular saver accounts often pay some of the best interest rates on the market, in exchange for committing to deposit a set amount every month. They’re well suited to deposit-saving because they build the monthly-saving habit and typically allow easy access if your plans change.
First Direct Regular Saver Account
A consistently competitive regular saver, ideal for building monthly deposit contributions on top of your LISA.
Nationwide Flex Regular Saver
A widely available regular saver with straightforward eligibility, useful if you don’t already bank with a provider offering a strong regular saver rate.
3. A Cash ISA for anything above your LISA allowance
Once you’ve used your £4,000 LISA allowance for the year, any additional deposit savings can go into a Cash ISA, keeping the interest completely tax-free. See our guide to the best savings accounts for first-time savers for current options.
A Simple Deposit-Saving Plan
- Work out your target. Use a budget calculator to see what you can realistically save each month after essentials.
- Open a Lifetime ISA first if you’re eligible and confident about buying within the £450,000 cap — the 25% bonus makes it the highest-priority account to fill each year.
- Add a regular saver for extra monthly savings once your LISA contribution is set, or if you’re not LISA-eligible.
- Start building UK credit in parallel, even if your deposit is years away — lenders reward a longer track record.
- Review your mortgage readiness annually — as your visa status, income, and credit history improve, the deposit lenders ask for often falls.
Government Schemes Worth Knowing About
The First Homes scheme offers new-build homes to first-time buyers at a discount of at least 30% below market value, subject to a household income cap and a maximum discounted price, and is worth checking if you’re eligible in your area. The older Help to Buy ISA closed to new applicants in 2019, so anyone starting to save now should use a Lifetime ISA instead. It’s also worth noting the Lifetime ISA itself is due to be replaced by a new First-Time Buyer ISA from around April 2028, which is expected to remove the current £450,000 property cap — worth watching if your purchase is still some years away.
Frequently Asked Questions
Do I need Indefinite Leave to Remain to get a mortgage?
No. Many lenders accept applications from Skilled Worker, Health and Care Worker, and Spouse visa holders, though you’ll typically need a larger deposit and at least 12 months of UK residency and credit history than someone with ILR or British citizenship.
Can I use savings or gifts from family abroad as part of my deposit?
Yes, but lenders require the funds to be traceable. Be ready to provide bank statements, proof of the money’s source, and a signed letter confirming it’s a gift (not a loan) if it’s coming from family.
Should I prioritise a Lifetime ISA or building my credit score first?
Do both at the same time where possible. The LISA bonus is time-limited to each tax year, so delaying it means losing bonus money you can’t reclaim later, while credit building takes months regardless of when you start.
Is a 5% deposit realistic for a migrant buying their first home?
It’s possible if you have Indefinite Leave to Remain or British citizenship along with a solid UK credit history and stable income, but many visa holders without a long UK track record should plan for 10% or more to have a realistic range of lenders to choose from.
Final Verdict
The deposit itself is only one part of getting mortgage-ready as a migrant — the size of deposit you’re asked for often falls sharply once you’ve built 12 months or more of UK credit history and stable income. Start a Lifetime ISA as early as you can if you’re eligible, add a regular saver for extra monthly progress, and treat credit building as equally important as the savings itself.
Start building your UK credit score →
Financial Disclaimer: This article is for informational purposes only and does not constitute financial advice. Please consult a qualified financial or mortgage adviser before making decisions about savings or a mortgage application.
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