For many people, getting a mortgage feels complicated — and over the years, a lot of misinformation has crept in.
You’ve probably heard someone say you need a “perfect credit score” or a “massive deposit” to get approved. But in reality, that’s not always true.
At Mortgage Knight, we help buyers every day who thought they couldn’t get a mortgage — and prove them wrong.
Here are the most common mortgage myths that stop people from buying a home, and the truth behind each one.
“You Need a 20% Deposit to Buy a Home”
✅ False.
Many lenders now accept 5–10% deposits, especially for first-time buyers.
Government schemes like the Mortgage Guarantee Scheme also support smaller deposits.
Tip: Even if you only have a 5% deposit, you could still qualify for a competitive rate with the right lender.
“You Need a Perfect Credit Score”
✅ False.
Lenders don’t expect perfection — they just want to see a pattern of responsible borrowing.
Even minor credit issues, like old defaults or missed payments, don’t automatically disqualify you.
Tip: Mortgage Knight works with specialist lenders who accept mild credit issues and still offer competitive rates.
“Renting Proves You Can’t Afford a Mortgage”
✅ Completely false.
If you’ve been renting responsibly, you’re already showing lenders that you can manage regular payments.
In fact, some lenders now use rental payment history to strengthen applications.
Tip: Keep a record of consistent rent payments — they can work in your favour.
“You Can’t Get a Mortgage if You’re Self-Employed”
✅ Wrong again.
Being self-employed or a contractor doesn’t stop you from getting a mortgage — you just need to show consistent income.
Lenders use your tax returns or contracts to assess affordability.
Tip: Even one year of accounts may be enough for some lenders — especially if you’ve worked in the same field for a while.
“Changing Jobs Means You Can’t Get Approved”
✅ Not necessarily.
If you’ve just started a new job, many lenders are fine as long as you’re out of probation or have a permanent contract.
Even those in probation can sometimes qualify, depending on the role and sector.
Tip: Mortgage Knight can identify lenders with flexible employment rules.
“You Can’t Get a Mortgage if You Have Debts”
✅ Not true.
Having some debt is normal — lenders only worry if repayments are unmanageable.
Clearing smaller debts can help, but it’s not essential to be debt-free before applying.
Tip: Focus on maintaining payments and keeping credit utilisation under 30%.
“All Lenders Offer the Same Deals”
✅ Absolutely false.
Each lender has unique criteria, rates, and products.
A bank might decline your application, while a specialist lender would approve it instantly.
Tip: A whole-of-market broker like Mortgage Knight compares over 90 lenders — ensuring you get the best fit for your circumstances.
Bonus Myth: “Using a Broker Costs More”
✅ Wrong again.
A good broker can save you money by finding lower rates, avoiding failed applications, and handling the paperwork.
Mortgage Knight’s broker fee is a flat £495, and we’ll always tell you if a product transfer is cheaper.
Case Studies
Case Study 1: Sophie – Thought Her Credit Score Was Too Low
Sophie had two missed payments from 2021 and assumed no lender would accept her. Mortgage Knight found a high-street lender offering a 5% deposit deal — she moved into her first flat six weeks later.
Case Study 2: Daniel – Self-Employed for Just a Year
Daniel ran a new graphic design business. Using his first year’s accounts and consistent invoices, we helped him secure a mortgage through Halifax based on projected income.
Case Study 3: Emma & Josh – Small Deposit, Big Dreams
They saved just 6% for their first home. Mortgage Knight used the Mortgage Guarantee Scheme to find a competitive rate and get them approved despite their small deposit.
Frequently Asked Questions
Q1. What’s the minimum deposit I need for a mortgage?
Ans: Most lenders offer options from 5–10%, depending on credit and property value.
Q2. Can I get a mortgage with bad credit?
Ans: Yes — some lenders specialise in adverse credit cases and still offer competitive fixed rates.
Q3. Do I need a full-time job to qualify?
Ans: No, part-time workers, contractors, and self-employed applicants can all qualify with the right evidence of income.
Q4. Does using a mortgage broker cost extra?
Ans: Not really — brokers often save you money overall by finding lower rates and avoiding costly rejections.
Q5. Can I get a mortgage if I have outstanding loans?
Ans: Yes, as long as your affordability checks show you can handle both the mortgage and debt repayments.
Don’t let mortgage myths hold you back.
If you’re a contractor looking for professional mortgage guidance, we’re here to help. Our specialist knowledge and lender relationships enable us to provide expert advice tailored to your situation.
Whether you have a small deposit, new job, or imperfect credit, Mortgage Knight can find lenders who understand your situation.
Speak to a Mortgage Adviser Today
