Saving for your deposit is a frustrating time, you want to get as much together as possible so that you can get the best possible mortgage but at the same time you want to get into your first home as quickly as possible too. Worst still is that often the amount you need will change depending on the market, lending conditions and interest rates.

The general rule of thumb is that you need 10% of the cost of the house as a deposit, though there are lenders who offer loans with far less deposit. However, if you get a loan with less than 10% deposit you can expect more stringent conditions on your loan and there may also be extra costs involved.

A 10% deposit means that you qualify for a 95% Loan to Value Ratio loan which allows for the often overlooked upfront costs of Lenders Mortgage Insurance, a once-off payment which allows you to borrow more than 80%  to be capitalised on to the principal of your loan.  

The reality is that it is best to wait until you have the 10% as in the long run it will work out better, however, for some the urge to move from renting to owning is too great and they will succumb quicker.