If You Getting onto the property ladder can be challenging, especially for first-time buyers in the UK.

 I’ll show you Rising house prices, high deposits, and tough mortgage requirements have left many young people and families feeling like homeownership is out of reach.

That’s where the First Homes Scheme comes in — a government-backed initiative designed to make You buying your first home more affordable.

Key Takeaways – First Homes Scheme

First Homes Scheme (FHS) is the evolution of affordable housing in the UK. It gives you focuses on giving first-time buyers and key workers a real chance to get on the property ladder with discounted homes.

If you Ignoring the First Homes Scheme means missing out. Even if you qualify for other buying schemes, FHS can provide a deeper discount and greater accessibility, putting home ownership within reach faster.

 I’ll show you Three pillars drive FHS success: eligibility criteria (first-time buyer, income limits, local connection), discounted property prices (at least 30% below market value), and long-term affordability secured for future buyers.

Applying early matters. Most local authorities and developers have limited allocations, so If you moving quickly it gives you a competitive edge in securing your dream home.

Think beyond Help to Buy. The First Homes Scheme works alongside other support options like Shared Ownership and Lifetime ISAs, giving you more flexibility and boosting your chances of buying your first home affordably.

^Sources

• GOV.UK – First Homes Scheme Guidance
• HM Government – Affordable Housing Policies
• MoneyHelper – First-time Buyer Schemes
• Which? – First Homes Scheme Explained

• The First Homes Scheme offers discounted new-build homes for first-time buyers, making ownership more affordable in the UK.gov+1
• Eligibility includes local residency, income limits, and priority for key workers and armed forces personnel.gov+2
• Homes are sold at least 30% below market value with specific price caps and mortgage requirements per region.dwh+2
• Resale restrictions ensure homes remain affordable for future first-time buyers.gov+1
• Applications are handled through local councils, developers, or estate agents with varying criteria by area.medway+1
• Stay updated on eligibility and available developments to make the most of the scheme.henrydannell+2

I’ll show you In this complete guide, we’ll explain how the First Homes Scheme works, who’s eligible, how it compares to other housing support schemes, and how to apply.

Government of UK official website tell about “First Homes scheme“: first-time buyer’s guidelines

WHAT is First Homes Scheme REALLY About? | Credit: Market Appraisal

First Home Scheme Buyers Guide Pdf : A First Home Scheme Pdf Guide

What Is the First Homes Scheme?

The First Homes Scheme is a government initiative introduced in 2021 to help first-time buyers in England purchase a new-build home at a discount of 30% to 50% off the market price.

The scheme is aimed at local people and key workers, helping them stay in their communities while owning a home.

The discount is permanent and stays with the property — meaning when you sell it in the future, it must be sold at the same percentage discount to another eligible buyer.

The scheme is supported by Homes England and local planning authorities and is typically applied to homes built under Section 106 agreements with developers.

Who Is Eligible for the First Homes Scheme?

If you want To qualify for the First Homes Scheme, you must meet the following eligibility criteria:

✅ You Must Be a First-Time Buyer

This means you’ve never owned a property before, whether in the UK or abroad. Joint applicants must both be first-time buyers.

✅ Income Limits Apply

• £80,000 or less household income (outside London)
• £90,000 or less if you’re buying in London

✅ Local Connection Requirement

Local councils can set their own rules requiring applicants to have a local connection (e.g., living or working in the area) or give priority to key workers, such as:

• NHS staff
• Teachers
• Police officers
• Armed forces members
• Social workers

✅ Property Price Cap

The maximum price after the discount is:

• £250,000 outside London
• £420,000 in London

These limits apply to the discounted price, not the original market value.

How Does the First Homes Scheme Work?

Here’s how the scheme typically works in practice:

1. Find a Property

If you Look for a new-build property that’s part of the First Homes Scheme. Not all developers participate, so you’ll need to check with local councils or Homes England.

2. Check Eligibility

Before you reserve the home, your eligibility is assessed by the developer and local authority. You’ll need to provide documents showing income, first-time buyer status, and local connection.

3. Reserve the Property

Once approved, you pay a reservation fee and start the home buying process.

4. Get a Mortgage

You’ll still need a mortgage for the discounted price. Most lenders require at least a 5% deposit, and your mortgage must cover at least 50% of the property’s value.

5. Legal Process

The discount is secured via a legal covenant that stays with the property, even when you sell. Your solicitor will handle this.

6. Selling a First Homes Property

If you decide to sell later, you must sell it at the same percentage discount to another eligible first-time buyer approved by the local council.

Reddit Discussion on First Homes Scheme:

First Homes scheme: first-time buyer's. WHATS THE CATCH??
byu/ArgonautShield inHousingUK

What Are the Benefits of the First Homes Scheme?

The First Home Scheme offers several major advantages:

💰 1. Substantial Discount

With a 30%–50% discount, homes become far more affordable, especially for young families or singles struggling with high deposits.

🧍‍♂️ 2. Designed for Key Workers & Locals

The scheme gives priority to essential workers, helping retain local talent in expensive housing areas.

🏠 3. Long-Term Affordability

The discount stays with the property, keeping it affordable for future generations.

💳 4. Lower Deposit & Mortgage

With a lower purchase price, you need less deposit and smaller mortgage repayments.

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First Homes vs Other Government Housing Schemes

Let’s compare the First Homes Scheme with other popular homeownership schemes:

The First Homes Scheme is ideal for buyers who want full ownership without needing to repay loans or share ownership.

How to Find a First Homes Property

WHATS THE CATCH in First Homes Scheme??

Finding a First Homes property requires a bit of research:

🔍 Step 1: Contact Local Authorities

Your local council’s website will list new developments that include First Homes.

🏗️ Step 2: Ask Housing Developers

Major developers like Barratt Homes, Persimmon, and Taylor Wimpey often include First Homes in new developments.

🏢 Step 3: Check with Housing Associations

Some housing associations participate in the scheme or offer similar discounts.

Are There Regional Variations?

Yes. The First Homes Scheme only applies in England. Other UK nations have their own homeownership support:

🏴 Scotland – New Supply Shared Equity (NSSE)

• Discounted new-builds for first-time buyers.
• You buy a majority share, the government holds the rest.

🏴‍☠️ Wales – Help to Buy Wales / Homebuy

• Equity loans up to 20% of purchase price for new-builds.
• Local councils also offer Homebuy schemes with discounts.

🇮🇪 Northern Ireland – Co-Ownership Scheme

• Shared ownership with the ability to “staircase” to full ownership.

For first home scheme Birmingham : 

If you live Birmingham and settle with First Homes Scheme good news for you.

In Birmingham around up to 99 Homes are available under the First Homes Scheme at Perry Barr Residential Scheme (PBRS).

This is the official announcement by Birmingham City Council for a new Homes Scheme delivered by Homes England.

The first 5,000 New homes are delivered in the Northwest Birmingham Region.

Requirement for Birmingham First Homes:

1. Purchasers must be eligible first-time buyers.
2. Household income must not exceed £80,000 (or lower if set by the local authority).
3. After applying the 30% discount, the sale price of the home must not exceed £250,000.
4. The property must be the buyer’s only home.

Buyers are required to use a mortgage or home purchase plan for at least 50% of the purchase price.

^{Source: Birmingham City Council}

Do Women Get Extra Benefits Under the First Homes Scheme?

While the First Homes Scheme does not offer women-only benefits, female key workers such as nurses, teachers, and social workers may get priority through local councils.

Single mothers and women in vulnerable situations can also access support and priority housing through council and housing association schemes.

Scheme	Benefit	For Women
First Homes	30–50% discount	No extra, but key worker roles (nurses, teachers) often benefit
Help to Buy	Govt. equity loan (closed now)	No female-specific rule
Shared Ownership	Buy part, pay rent on rest	Helpful for single women with low income
Council Housing	Affordable rent, priority lists	Priority for single mothers & abuse survivors
Lifetime ISA	25% govt. bonus on savings	No direct, but useful for lower income earners

Is First Home Scheme could be wildly expensive?

Yeah, a lot of people see the First Home Scheme as a great way to get on the property ladder — and on the surface, it is. But many don’t realise the long-term costs.

You get a discount upfront (30–50%), but when you sell, you have to give back that percentage of the full market value — even if you’ve made improvements.

So if your home doubles in value, you owe double too.

Plus, with limited lenders, you might end up with higher interest rates and fewer options. Combine that with rising maintenance costs, potential leasehold fees, and the resale restrictions… it’s not always the bargain it seems.

So yeah, it’s helpful, but definitely not “free money.” People really need to look beyond the headline discount.

Tell me Witch region you buy Your First Homes , Comment Below!

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Frequently Asked Questions (FAQs)

Conclusion:

Final Thoughts: Is the First Homes Scheme Right for You?

The First Homes Scheme is a game-changer for first-time buyers who meet the criteria. If you’re eligible, it can save you tens of thousands of pounds, reduce your mortgage burden, and allow you to buy in your local area — especially valuable for key workers.

Preview

While it’s not available everywhere, and resale rules apply, the long-term affordability and full ownership make it a compelling option compared to schemes like Shared Ownership or Help to Buy.

Tell me witch Region you buy your First Homes, Comment Below!

🔗 Ready to Take the First Step?

Check your local council’s First Homes listings, speak with housing developers, or explore your mortgage options with a trusted advisor today.

Homeownership might be closer than you think — and the First Homes Scheme could be your key to unlocking it.

Resource an Citations:

1. https://ppl-ai-file-upload.s3.amazonaws.com/web/direct-files/attachments/images/11789707/66e264ca-6053-4bb1-9d3b-5dbf505055aa/Screenshot_37.jpg
2. https://www.gov.uk/guidance/first-homes
3. https://www.gov.uk/first-homes-scheme
4. https://henrydannell.co.uk/education-hub/blogs/first-homes-scheme-explained
5. https://www.medway.gov.uk/info/200585/first_homes_scheme/1548/eligibility_criteria_for_first_homes
6. https://www.dwh.co.uk/offers/first-homes/
7. https://www.hull.gov.uk/regeneration-1/first-homes-scheme/2