Simply put, a 90% LTV mortgage means you only need a 10% deposit, while a 95% LTV requires just 5% down.

This is great news for many Londoners who earn the salary to comfortably afford monthly payments but find it difficult in today's economy to save enough for the typical 15-20% deposit.

Here's possibly the best part of the Moneyfacts UK report – current mortgage rates for small deposits have dropped. The average two-year fixed rate for borrowers with a 5% deposit is now 5.81% – the lowest in over two years.

Lower rates mean two things:

1. Your monthly payments will be lower, leaving more in your pocket.

2. You'll likely pass affordability checks more easily, as lenders calculate what you can borrow based on these lower rates.

For example, a 0.5% drop in your rate could mean saving hundreds of pounds each year and potentially qualifying for thousands more in borrowing power.

We asked Richard Merrett, Managing Director of Alexander Hall, to sum up the market for you:

“The greater availability of low deposit options is a fantastic sign for the property market.

More high LTV financing options helps stimulate activity which is positive not only for first-time buyers (FTBs) but also further up the property chain with greater options for homemovers as their buyers have potentially more leverage, giving greater confidence in their own sales journey.

There is even more positivity in that not only is product availability high but this is coupled with lower average rates than we have seen for some time, and some excellent innovations.

The likes of Accord and Skipton have released specific products aimed at FTBs; there are more options for families to support mortgage applications and help boost affordability from lenders such as Loughborough, Gen H and Barclays; and major lenders such as Halifax and Santander have tweaked their affordability calculations, estimating that many buyers could potentially increase their borrowing by as much as 13%.

All of these innovations substantially increase any prospective buyer’s ability to find their dream home.”

April also marks the highest number of mortgages on the market since October 2007, according to the latest Moneyfacts UK Mortgage Trends Treasury Report. So, whether you’re looking for a low deposit option or another product, you've got more choices than at any point in almost 2 decades.

The myth of perfect timing

The Bank of England holding the base rate in March has helped create a sense of stability in the market. The next Bank of England announcement comes in May, but as always, trying to predict the perfect moment with the absolute lowest rates can be risky. The global economic situation makes forecasting difficult, and waiting for slightly better rates might mean missing excellent current opportunities.

Next steps

Ready to seize this opportunity? Here's how to get moving today:

• Get your mortgage agreed in principle first. This confirms your budget before viewings, so you’re looking at properties you can afford.

• Using a mortgage rate calculator can give you a clue to your budget, but if you want to see what the best-suited mortgage products can do for you, it’s time to talk to a trusted broker. Our partners can guide you through all options – including the high street lenders and beyond:

The other thing to do is let us know what you're looking for – because in this busy market, you need a head start. Sign up for a My Foxtons account, and we'll share new listings that suit your search before they hit the major portals:

Current mortgage rates are favourable, especially for those with smaller deposits. With mortgage interest rates UK-wide showing promise, this spring could be the perfect time to make your move.