8 September 2025 | Written by Mercantile Trust
First-Time Buyer Buy to Let Mortgages
For many first-time buyers, the property ladder traditionally begins with a residential home. However, some people are choosing to enter the market as investors. A First-Time Buyer Buy to Let mortgage gives you the chance to purchase your very first property with the intention of letting it out, creating both a potential income stream and long-term financial security.
At Mercantile Trust, we specialise in supporting new landlords — even if you don’t yet own a property.
What is a First-Time Buyer Buy to Let Mortgage?
A First-Time Buyer Buy to Let mortgage is designed for individuals purchasing their first property specifically to rent it out. Unlike a standard residential mortgage, this type of loan is tailored for those looking to start a property investment journey rather than buy a home to live in.
Not all lenders accept applicants without property ownership history — but at Mercantile Trust, we take a different approach. We assess each case individually and look at the full story, not just your credit score or background.
Mercantile Trust First-Time Buyer Buy to Let – Key features
- Loan size: £10,000 – £500,000
- Term: 3 – 25 years
- Maximum LTV: Up to 65%
- Minimum income requirement: £22,500
- Property location: England, Wales, Scotland, Northern Ireland
- Charge type: First Charge
Advantages of a First-Time Buyer Buy to Let Mortgage
Taking out a Buy to Let mortgage as your first property purchase comes with clear benefits:
- Start your investment journey early – Build your portfolio sooner rather than later.
- Generate rental income – Earn regular monthly payments from tenants.
- Benefit from capital growth – Property values may increase over the long term.
- Invest in high-demand areas – Secure both income and any future gains.
- Gain landlord experience – Step into property management and grow your expertise.
Challenges to be aware of
It’s important to prepare for some of the common challenges first-time buyers face:
- Stricter eligibility criteria with some lenders.
- Higher deposits — typically 20–35% of the property value.
- Additional costs such as repairs, letting agent fees, and void periods.
- Regulatory responsibilities, including compliance with landlord laws and tenant rights.
Requirements for First-Time Buyer Buy to Let Mortgages
If you’re applying as a first-time buyer, you should expect to demonstrate:
- A larger deposit (usually 20%+).
- Evidence that rental income will cover the mortgage and associated costs.
- A good understanding of landlord duties.
- A clear investment plan in a location with strong rental demand.
- At Mercantile Trust, we keep the process straightforward by considering applications individually and with flexibility.
Is a Buy to Let Right for you as a first-time buyer?
If your goal is to build a property portfolio or generate rental income rather than buy a home for yourself, a Buy to Let mortgage can be an excellent first step.
It allows you to:
- Enter the property market earlier.
- Build wealth through rental returns and capital appreciation.
- Gain valuable landlord experience for future investments.
Why choose Mercantile Trust?
We know that getting started in property investment isn’t always easy — especially for first-time buyers. That’s why our team uses common-sense underwriting to understand your full circumstances, not just the numbers on paper.
Whether you’re looking for your very first Buy to Let or planning to grow into a professional landlord, we’re here to support your journey.
Take your first step into Buy to Let
A First-Time Buyer Buy to Let mortgage can open the door to long-term financial opportunities. With the right property and the right lender, it can be a rewarding way to begin your investment career.
Ready to explore your options? Contact Mercantile Trust today to discuss your First-Time Buyer Buy to Let mortgage.
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