The amount of prospective home buyers who meet the qualifying criteria for every mortgage deal on the market is as low as 3.5 per cent, according to analysis from Experian.

While one in five (22 per cent) of those using pre-qualification websites to find a suitable product meet the initial qualifying criteria for every lender on the market, this figure dropped significantly once their affordability for their desired loan is considered with an eligibility check.

Pre-qualification websites have increased in popularity in recent years and the tools have streamlined the process of identifying suitable mortgage products, matching customers to deals they are most likely to be eligible for.

However, despite the tools supporting a significant number of prospective homeowners, lenders decline a third of customers on average as they do not meet their full lending criteria.

Furthermore, just over one in four people searching for a mortgage find they are eligible for a mortgage with at least one lender but will not be able to borrow their desired amount. The analysis highlighted that 27 per cent are eligible for a mortgage but only for a reduced amount to meet the lender’s affordability requirements.

This figure increased to 31 per cent for those looking to remortgage with additional borrowing requirements.

Commenting on the figures, Experian managing director of data services Lisa Fretwell said: “People don’t want to leave anything to chance when they’re trying to buy their dream home. Pre-qualification websites strengthen their position, signposting mortgages which they will find affordable and be accepted for, so they can get the loan they want.

“Mortgage lenders are using new services to increase their acceptance rates. Pre-qualification connects them with people who are eligible to borrow from them, while Open Banking services allow them to quickly understand someone’s income and outgoings.”

Fretwell noted that the firm is continuing to work with mortgage lenders wanting to leverage pre-qualification and Open Banking technology to identify eligible new borrowers.

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