First Homes Scheme
The government has launched a new ‘First Homes’ scheme to help local first-time-buyers and key workers onto the property ladder, by offering homes at a discounted 30% off the market price. In some areas the discount could be as high as 50%. The first, First Homes, properties went on the market on the 4th June 2021, as part of the first phase of an early delivery project in the Bolsover district, East Midlands.
With more sites set to launch in the scheme in the coming weeks & months, what is First Homes and who’s eligible?
What is the First Homes Scheme?
First Homes is part of the government’s pledge to build one million affordable homes and follows closely to the mortgage guarantee scheme which was rolled out at the start of June. First Homes will support local residents who are struggling to afford current market prices but would prefer to remain local to their current home and workplace.
The discount will apply to the homes forever, meaning that generations of new buyers and the local community will continue to benefit each time the property sells. 1,500 more properties are set to enter the market through the scheme in the autumn, with an overall goal of at least 10,000 homes a year being delivered.
First Homes will be available on a number of plots in most new housing developments. Interested applicants can start by checking whether the builder is currently offering the scheme on the development.
For more information please visit the gov.uk website.
Who is eligible?
The scheme is running for local first-time-buyers in England, with a few conditions to be eligible:
- You must be a first-time-buyer and have a household income not exceeding £80,000, or £90,000 in London*
- Post-discount price caps on first sale of the property of £250,000 across England, or £420,000 in London*
- It must be your only home, and it will need a mortgage or home purchase plan for at least 50% of the purchase price of the home
- Local connections and/or key worker status as determined by the relevant local authority
*May be lower if set by the local authority.
If you’ve not already started saving for your deposit, take a read of our top tips to help you get started!
To apply for a First Home, you must qualify through the eligibility criteria and apply through the builder. There is no application deadline, and you can apply as soon as plots become available.
For more information on buying your first home, and the current schemes available, visit Own Your Home.