Santander launches 95% LTV mortgages as part of Government Mortgage Guarantee Scheme

From Tuesday 20 April 2021, people looking to buy a new home can apply for one of three, fee free, 95% LTV mortgage products provided by Santander, as part of the Government’s Mortgage Guarantee Scheme. 

The three products, which are repayment mortgages for houses priced up to £600,000 or flats and leasehold properties up to £400,000, are available to first-time buyers and home-movers.  The mortgages available are:

  • two year tracker rate at 3.99%; zero product fee; free valuation
  • three year fixed rate at 3.99%; zero product fee; free valuation
  • five year fixed rate at 4.09%; zero product fee; free valuation


Customers can apply for the products directly with Santander over the phone, via a video appointment and in branch, or; via a broker. 

Brad Fordham, Head of Mortgages at Santander said: “We know that buying a home is expensive and finding the money for a deposit and the upfront costs can  sometimes prove a barrier to potential homeowners. We’re pleased to be part of the Government’s Mortgage Guarantee Scheme by offering customers a range of 95% LTV mortgages with the additional support of no upfront fees and a free valuation.”

Under the terms of the scheme, the government will guarantee the amount of the mortgage lending over 80%, ie 15% of a 95% loan to value mortgage and customers will be subject to Santander’s normal affordability checks.

While Santander’s products are not available on new build properties, eligible first-time buyer customers will be able to apply for Help to Buy on new build properties up to a maximum of 75% LTV – where they provide a 5% deposit, with a government top up providing the remaining 20%. More information on Help to Buy can be found online.

During 2020, Santander lent over £5.4bn to first time buyers and helped with a range of product related support including: gifted deposits; up to four names on an application and terms of up to 40 years to make monthly repayments more affordable.  Santander has an online mortgage calculator which customers can use to see how much they might be able to borrow.


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Santander UK is a financial services provider in the UK that offers a wide range of personal and commercial financial products and services. At 31 December 2020, the bank had around 21,900 employees and serves around 14 million active customers, via a nationwide branch network, telephone, mobile and online banking. Santander UK is subject to the full supervision of the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA) in the UK. Santander UK plc customers’ eligible deposits are protected by the Financial Services Compensation Scheme (FSCS) in the UK.


Banco Santander (SAN SM, STD US, BNC LN) is a leading retail and commercial bank, founded in 1857 and headquartered in Spain. It has a meaningful presence in 10 core markets in Europe and the Americas, and is one of the largest banks in the world by market capitalization. Its purpose is to help people and businesses prosper in a simple, personal and fair way. Santander is building a more responsible bank and has made a number of commitments to support this objective, including raising over €120 billion in green financing between 2019 and 2025, as well as financially empowering more than 10 million people over the same period. At the end of 2020, Banco Santander had more than a trillion euros in total funds, 148 million customers, of which 22.8 million are loyal and 42.4 million are digital, 11,000 branches and 191,000 employees.