First Homes

First Homes is a government-backed affordable housing scheme designed to help more first-time buyers purchase their first home, and get onto the property ladder. The scheme will become an increasingly significant aspect of affordable housing developments.

First introduced in 2021 the government aimed to deliver 1,500 First Homes during the Early Development Phase between 2021-2023. Going forward, 25% of affordable housing built on development sites will be First Homes.

What are First Homes?

First homes: 

• Are properties sold to first-time buyers with a discount of at least 30% from full market value.

• The percentage discount is passed on to future purchasers in perpetuity. The discount is secured through a planning obligation, which runs with the land, along with a title restriction preventing the transfer of title without the express permission of the Local Authority. 

• The maximum price of a First Home on its initial sale, after the discount has been applied, will be £250,000.

More information will be relased by the government as the scheme progresses. If you are interested in this scheme, you can find more information by visiting the Government's Own your Home website. 

Eligibility

To purchase a First Homes property, you will need to meet certain eligibility criteria: 

• Are 18 years or older. 

• Are a First-time buyer. 

• Have a household income of £80,000 or less. 

The following must also apply: 

• The property must be the buyers only home and main residence. 

• Purchasers must be able to obtain a mortgage that covers at least 50% of the discounted purchase price.