The number of low-deposit mortgage deals available at 90% and 95% loan-to-value have hit their highest levels this month since March 2008, according to the latest Moneyfacts UK Mortgage Trends Treasury Report.

The range of deals at the 95% loan-to-value tier rose to 442, its highest since it reached 575 in March 2008. The availability of deals at the 90% loan-to-value tier rose to 845, the highest in 17 years, compared to 957 in March 2008.

Overall product choice rose month-on-month to 6,870 options, compared to 6,307 in April 2024 and the highest since October 2007 (7,421).

Average mortgage rates on the overall two- and five-year fixed rates fell by 0.07% and 0.04% to 5.32% and 5.18%, respectively. These were smaller margins than 0.13% and 0.10% between the start of February and March 2025, which were the biggest cuts since the start of October 2024 (0.16% and 0.13% respectively).

At the start of April 2024, the average five-year fixed rate was 5.39%. Compared to the start of this month, the rate is 0.21% lower at 5.18%. However, the average two-year fixed rate has fallen by 0.48% over the same period, down from 5.80% to 5.32%. The average two-year tracker variable mortgage rate rose to 5.20% while the average ‘revert to’ rate or Standard Variable Rate (SVR) fell to 7.60%.

Rachel Springall, finance expert at Moneyfacts, says: “The flourishing choice of low deposit mortgages will no doubt be welcomed by borrowers who are either looking to remortgage or are a first-time buyer. The Government has been clear that it wants lenders to do more to boost UK growth, and so a rise in product availability for aspiring homeowners is a healthy step in the right direction. However, there is still much more room for improvement, particularly as the choice of deals at 95% loan-to-value represents just 6% of all deals available to borrowers across fixed and variable mortgages.”