HSBC has launched a range of 95 per cent loan-to-value (LTV) mortgages.
The range will have no booking fee and is being launched with first-time buyers in mind.
Deals will be available on two-, three- and five-year fixed terms, with rates starting at 3.49 per cent for a two-year fixed deal. HSBC will offer the products on loans up to £400,000 with a maximum term of 30 years.
The bank said the range, which comes with free valuations, will appeal to first-time buyers trying to get a foot on the property ladder.
HSBC UK head of retail products Tracie Pearce said: "Much has been publicised about the difficulty buyers face breaking into the housing market.
"We hope to help first-time buyers get a footing in the market with very little initial outlay and, with historically low interest rates, monthly payments can end up being less than rent in some cases."
The launch comes as the proportion of house sales to first-time buyers climbed to 29 per cent in February.
It is hoped that a greater range of products designed for first-time buyers will help improve affordability.
A survey by NAEA Propertymark said the stamp duty relief for first-time buyers announced in November's Budget was starting to have an impact.
Its February housing report found year-on-year sales to first-timer buyers was at its highest proportion since February 2015.
Chief executive Mark Hayward said: "Since the chancellor cut stamp duty there has been a good level of sales to the group, but they haven’t rocketed. We still have a long way to go to make the dream of owning a home accessible to all, but this is definitely a step in the right direction."
