Last updated 6 November 2026 · Current examples use 2026/27 rules.
My husband and I saved a £36,000 house deposit by 2011, living on one salary at a time. We cut recurring costs and saved into separate ISAs and savings accounts. A £36,000 target over 36 months works out at £1,000 a month before interest or bonuses.
We arrived in the UK in 2008 with £1,000. My husband struggled to find work for almost a year, so we lived on my salary. After I stopped working in August 2009, we lived on his. By 2011 we had a 20% deposit for our first home.
I tell the longer story in Good Salary, Empty Account on Amazon UK. Here’s what we did with the money we had, and how I’d build a plan around today’s savings options.
The deposit maths: our £36,000 target and a 2026/27 plan
We wanted a tracker mortgage and were aiming for a 20% deposit. The £1,000 monthly figure is a planning benchmark for a £36,000 target from zero over three years. It doesn’t reconstruct our monthly deposits or tell you what you need to put away if you already have savings.
Start with a realistic property price and your own deposit percentage. A £250,000 home would need £12,500 at 5% or £25,000 at 10%, before buying costs. Whether either deposit is enough depends on the mortgage and your circumstances. Use the Lifetime ISA calculator and deposit-saving guide for renters to run your own figures.
A Lifetime ISA is an option today. Eligible savers can open one from age 18 to 39 and contribute up to £4,000 each tax year for a 25% government bonus, subject to the scheme rules. If you buy together and both meet the first-home rules, you can each use your own LISA.
| Deposit component | One eligible LISA saver | Two eligible LISA savers |
|---|---|---|
| Your LISA contributions | £12,000 | £24,000 |
| Government bonus | £3,000 | £6,000 |
| Your savings outside the LISA | £21,000 | £6,000 |
| Total deposit | £36,000 | £36,000 |
| Your cash per month over 36 months | About £917 | About £833 combined |
The figures assume full contributions in three tax years, all bonuses credited and a qualifying purchase. You normally need to have made your first LISA payment at least 12 months before buying, use a mortgage and withdraw through your conveyancer. The £450,000 cap still applies to charge-free first-home withdrawals. Since 29 October 2026, a qualifying first-home purchase above it can incur a 20% withdrawal charge. See my Lifetime ISA first-home guide before committing deposit money.
Five habits that helped us save on one income
1. We saved in separate ISAs
We each had an ISA in our own name even while only one of us earned a salary. We used higher-interest savings accounts as well. If you’re saving as a couple today, check who owns each pot and how much of each person’s allowance has already been used.
In 2026/27 the annual ISA subscription limit is £20,000 per eligible adult, including any LISA contributions. Cash ISA interest is tax-free. For cash held outside an ISA, check your allowances and the announced April 2027 changes in my savings tax guide.
2. We changed the costs that came back every month
We rented furnished accommodation and went without a car for our first two years. I used the bus with a weekly pass. We cooked at home, bought reduced food and used the library. Each choice was small enough to repeat, which mattered more to us than a one-off cut.
If you’re trying this now, start with the costs you actually have room to change. For example, freeing up £75 a month on recurring bills or transport would add £900 to your deposit pot over a year if you save it each month. My monthly budget guide can help you spot the gap between what comes in and what’s already committed.
3. I’d give annual bills their own pots today
Before deciding what you can save each month, write down the costs that don’t turn up monthly. A £360 bill due in six paydays needs £60 per payday if you haven’t saved any of it yet. Budget that alongside the deposit so both amounts can come out of the same salary.
My free 7-Day Financial Reset Kit can help you get started. If you want separate rows for your deposit and annual bills, my Sinking Funds & Savings Pots tracker is in the MoneySavvyUK shop.
4. We compared savings accounts
We built the deposit steadily in savings accounts and ISAs. If I were doing it now, I’d compare the rate, how long it lasts and when I can withdraw. The money needed for a purchase on a fixed date deserves a different plan from cash you can leave untouched.
Check the provider’s terms and deposit protection, especially if two brands share a banking licence. My Cash ISA vs Premium Bonds comparison shows the difference between interest you can plan around and uncertain prizes.
5. We used an offset tracker after buying
Once we bought, our offset tracker let us link savings to the mortgage. The linked balance reduced the amount charged interest, and we could withdraw the money if we needed it. That was a choice about how to hold savings after completion.
Today, compare the rate and fees on the whole loan, and check the terms on withdrawals. My offset versus overpaying guide and Bank Rate and mortgage guide show how to work through the trade-offs.
Keep your buying costs separate
Make a second list for conveyancing, searches, a survey, moving costs and any property transaction tax that applies. Get quotes for your area and property. If your estimates add up to £3,200 and you have eight paydays left, that’s another £400 per payday on top of your deposit target.
Keep the money you’ll need for those costs and your post-move emergency fund accessible. My free First Home Toolkit includes a buying-costs budget, deposit tracker and viewing checklist to work through before you commit to a property.
What I’d do first
Pick a price range, get a rough idea of the deposit you’ll need and write down the buying costs separately. Then divide what’s left to save by the number of paydays you have. If the monthly number doesn’t fit your budget, change the price range or the timeline before choosing a savings account.
Saving a house deposit on one salary: key takeaways
- Use your own target and paydays to work out how much to save.
- Compare ISA options against your purchase date and likely price.
- Set aside annual bills, buying costs and emergency cash separately.
First-home deposit FAQs
Can I get a UK mortgage on one salary?
Yes, lenders can lend to single applicants or households with one income. How much you can borrow depends on the lender’s affordability assessment, including income, commitments and deposit.
How much deposit do I need for my first home?
Start by checking the deposit required for mortgages you’re eligible for and the price of homes in your range. On a £250,000 property, every percentage point of deposit equals £2,500.
Should I use a Lifetime ISA or Cash ISA for a house deposit?
A Lifetime ISA can boost eligible first-home savings if the price, timing and purchase meet the rules. A Cash ISA can be useful for money you may need sooner or for costs outside the property purchase, depending on withdrawal terms.
Once your deposit is taking shape, use my six-month mortgage preparation checklist to organise your statements and proof of funds. If you’re weighing a deposit contribution against an extra student loan payment, see my Plan 2 overpay-or-save guide.
Sources
- GOV.UK Lifetime ISA eligibility and contributions and first-home withdrawals
- GOV.UK ISA guidance
- FSCS savings protection
I’m not a financial adviser. This guide shares my experience and general information and does not constitute regulated financial advice.