"It is particularly worrying that borrowers with a 10% deposit or more are struggling."
In total, more than one in three first-time buyers have missed out because their deposit was too small and around half had more than 10% of the purchase price saved.
Around 18% say they had a deposit of less than 10% while 17% had less than 20% of the house price they were planning to buy.
Ian Gibbons, Senior Mortgage Broking Manager at Nottingham Mortgage Services, said: “Borrowers with small deposits have a wide choice of loans to pick from but clearly many are struggling to buy the houses they want with so many potential deals falling through.
“It is particularly worrying that borrowers with a 10% deposit or more are struggling. They should be able to secure a mortgage and not have to miss out on house purchases simply because their deposit is too small.
“The withdrawal of the Help-to-Buy mortgage guarantee scheme will have some impact but in general the advice is always to search the market and get specialist advice on the range of options available.”
