First Homes Scheme London: Find Affordable London New Homes Near West, South West & North West Region.

Get up to 30% discount on new homes across London boroughs. Maximum property price £420,000, income limit £90,000. Key workers get priority access.

First-time buyers in London need a minimum 5% deposit, but a 10–15% deposit is often required for better mortgage deals.

First Homes Scheme London Eligibility Requirements

Income and Financial Criteria

Maximum household income: £90,000 per year before tax. This applies to your total combined income if you’re buying with a partner.

The income limit is higher than most other UK regions, reflecting London’s elevated living costs.

First-time buyer status required: You must not have owned a residential property anywhere in the world. If you’re married or in a civil partnership, your partner must also be a first-time buyer.

Deposit requirements: Minimum 5% deposit of the discounted purchase price. For a £420,000 property with 30% discount (£294,000), you’ll need at least £14,700 deposit.

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

Local Connection Criteria

Priority order for applications:

1. Key workers (NHS staff, teachers, police, firefighters, armed forces)
   
2. Local residents living in the borough for 3+ years
   
3. Local workers employed in the borough for 12+ months
   
4. Family connections (parents/children living locally)
   

Documentation required:

• Payslips for income verification
  
• Employment contracts for key worker status
  
• Council tax bills or tenancy agreements for residency proof
  
• Bank statements showing deposit funds
  

London Property Prices and Limits

Maximum Purchase Prices by Area

Central and Prime Areas: £420,000 cap applies universally across London, but availability is extremely limited in:

• Westminster, Kensington & Chelsea, Camden (minimal new builds)
  
• City of London, Hammersmith & Fulham (few qualifying developments)
  

Outer London Boroughs: Better availability with prices closer to the £420,000 limit:

• Croydon, Bromley, Havering: £380,000-£420,000 typical range
  
• Barking & Dagenham, Bexley: £320,000-£380,000 range
  
• Hillingdon, Enfield: £350,000-£400,000 range
  

Property Types Available

Typical First Homes properties:

• 1-2 bedroom apartments in new developments
  
• Converted buildings with modern specifications
  
• Purpose-built developments with shared facilities
  
• Ground floor or lower floor apartments (more affordable)
  

Excluded property types:

• Houses (rarely available within price limits)
  
• Luxury developments with premium specifications
  
• Properties with service charges exceeding £300/month
  

First Homes Scheme by London Area

First Homes Scheme West London

Active boroughs: Ealing, Hounslow, Hillingdon offer the most opportunities in West London. These areas provide better value while maintaining excellent transport links.

Available developments:

• Ealing: Dickens Yard and Filmworks developments offering 1-2 bed apartments from £380,000
  
• Hounslow: Near Heathrow developments with competitive pricing £350,000-£400,000
  
• Hillingdon: Uxbridge and Hayes regeneration areas with new builds from £320,000
  

Transport advantages: Direct access to Central London via Central, Piccadilly, and Elizabeth lines. Journey times 30-45 minutes to Zone 1.

Local authority contacts:

• Ealing Council: Housing team handles First Homes applications
  
• Hounslow Council: Apply through HomeBuy agent
  
• Hillingdon Council: Register on Hillingdon Home Choice
  

First Homes Scheme South West London

Premium accessibility: Wandsworth, Merton, and Richmond offer limited but high-quality options. Competition is intense due to excellent schools and transport links.

Current availability:

• Wandsworth: Battersea and Nine Elms developments, limited units £400,000-£420,000
  
• Merton: Wimbledon and Mitcham new builds, better availability £360,000-£400,000
  
• Kingston: Town center regeneration projects £380,000-£420,000
  

Key considerations:

• School catchments: Outstanding primary and secondary schools increase demand
  
• Transport hubs: Zones 2-3 with National Rail connections
  
• Property appreciation: Historically strong capital growth areas
  

Application strategy: Register early with multiple boroughs. Merton typically has shorter waiting lists than Wandsworth.

First Homes Scheme North West London

Emerging opportunities: Barnet, Brent, and Harrow provide excellent value with ongoing regeneration programs creating new supply.

Development hotspots:

• Brent: Wembley Park expansion with 2,000+ new homes, First Homes from £340,000
  
• Barnet: Mill Hill East and Colindale developments £360,000-£400,000
  
• Harrow: Station Road regeneration offering competitive pricing
  

Regeneration benefits:

• Infrastructure investment: New transport links and community facilities
  
• Employment growth: Commercial developments creating local jobs
  
• Long-term value: Areas benefiting from sustained investment
  

Typical commute times:

• Jubilee line: 25-35 minutes to Bond Street
  
• Metropolitan line: 30-40 minutes to Baker Street
  
• Northern line: 35-45 minutes to Central London
  

Application Process and Timeline

Step-by-Step Application

1. Register with local authority (Week 1)

• Complete online housing register application
  
• Submit required documentation
  
• Attend assessment appointment if required
  

2. Property matching (Weeks 2-12)

• Receive property notifications via email/portal
  
• Express interest within 48-72 hours
  
• Shortlisting based on priority criteria
  

3. Formal application (Weeks 2-4)

• Submit detailed application form
  
• Provide financial verification
  
• Undergo affordability assessment
  

4. Property offer (Week 1)

• Conditional offer subject to mortgage approval
  
• 28-day acceptance deadline
  
• Reserve property with deposit
  

Required Documentation Checklist

Financial evidence:

• ✅ 3 months’ payslips and P60
  
• ✅ Bank statements (6 months)
  
• ✅ Mortgage agreement in principle
  
• ✅ Proof of deposit funds
  

Eligibility proof:

• ✅ Passport/driving license
  
• ✅ Council tax bills (3 years for local connection)
  
• ✅ Employment contract (key worker verification)
  
• ✅ Right to work documentation
  

Application timeline expectations:

• Borough registration: 2-4 weeks processing
  
• Property matching: 3-18 months (varies by area)
  
• Offer to completion: 8-12 weeks standard conveyancing
  

Mortgage Options and Financial Planning

Approved Lenders

Mainstream lenders accepting First Homes:

• Halifax/Lloyds: Dedicated First Homes products, 5% deposit
  
• NatWest: Competitive rates for key workers
  
• Santander: First-time buyer incentives available
  
• Nationwide: Building society with favorable terms
  

Specialist brokers:

• Legal & General Home Finance: Government scheme expertise
  
• Shared Ownership Mortgages: Experience with discounted sales
  
• Local authority recommended brokers: Area-specific knowledge
  

Affordability Calculations

Example scenario – £420,000 property:

• Market value: £420,000
  
• 30% discount: £126,000
  
• Purchase price: £294,000
  
• 5% deposit: £14,700
  
• Mortgage required: £279,300
  

Monthly costs estimation:

• Mortgage payment (2.5%, 35 years): £1,250
  
• Service charge: £150-£250
  
• Council tax: £120-£180
  
• Total monthly outgoings: £1,520-£1,680
  

Income requirement: £54,000-£60,000 annual household income recommended for comfortable affordability.

Legal Requirements and Conveyancing

Title Restrictions and Covenants

Resale price covenant: Property must be sold at minimum 30% discount to market value. Independent valuation required at point of sale.

Local connection priority: Future buyers must meet the same local connection criteria unless no eligible buyers are found within 3 months.

Right of first refusal: Local authority has an 8-week period to purchase or nominate buyer before open market sale.

Choosing Legal Representation

Recommended conveyancing firms:

• Government scheme specialists: Experience with restriction clauses
  
• Local authority panels: Pre-approved firms familiar with borough requirements
  
• First-time buyer services: Competitive fixed-fee packages
  

Legal costs budget:

• Conveyancing fees: £800-£1,200
  
• Local searches: £300-£500
  
• Land registry fees: £270
  
• Total legal costs: £1,370-£1,970
  

Finding Available Properties

Property Search Strategies

Official channels:

• Borough housing websites: Primary source for new releases
  
• HomeBuy agent portals: Cross-borough search facility
  
• Shared Ownership Plus: Government property search platform
  

Developer direct marketing:

• Help to Buy South: Covers multiple London boroughs
  
• Peabody, L&Q, Clarion: Major housing associations with First Homes
  
• Sales suite registration: Early access to off-plan releases
  

Estate agent networks:

• Foxtons New Homes: London-wide coverage
  
• Knight Frank New Homes: Premium developments
  
• Savills Developments: High-end new build specialists
  

Property Alert Systems

Setup multiple alerts for:

• Borough-specific property releases
  
• Price range notifications (£280,000-£420,000)
  
• Property type preferences (1-bed, 2-bed)
  
• Transport zone requirements
  

Response time critical: Express interest within 24-48 hours of notification. Popular properties receive 50+ applications within first weekend.

Scheme Comparisons and Alternatives

First Homes vs Shared Ownership

Feature	First Homes	Shared Ownership
Ownership	100% from day one	25-75% initially
Discount	30% minimum	Varies by scheme
Income limit	£90,000 London	£90,000 London
Rent payments	None	Yes, on unowned share
Staircasing	Not applicable	Available to 100%
Resale restrictions	30% discount maintained	Right of first refusal

First Homes vs Help to Buy

Help to Buy Equity Loan (closed to new applications):

• 40% government loan in London (20% elsewhere)
  
• No income restrictions
  
• Interest-free for 5 years, then 1.75%
  

First Homes advantages:

• No loan repayment required
  
• Immediate 100% ownership
  
• No interest charges
  
• Simpler legal structure
  

Frequently Asked Questions

What happens when I want to sell?

You must sell at the same percentage discount (minimum 30%) to an eligible buyer meeting local connection criteria. Local authorities have 8 weeks to find a buyer before general sale is permitted.

How long does the application process take?

Borough registration: 2-4 weeks. Property matching: 3-18 months depending on area and preferences. Offer to completion: 8-12 weeks. Total timeline: 6-24 months typically.

What if my application is rejected?

Appeal through the borough’s housing team within 21 days. Common rejection reasons: income too high, insufficient local connection, incomplete documentation. Reapply when circumstances change.

Next Steps: Getting Started

Quick Action Checklist

Immediate actions (This week):

• ✅ Check income eligibility (under £90,000)
  
• ✅ Gather local connection evidence
  
• ✅ Research target boroughs and developments
  
• ✅ Register with 2-3 borough housing teams
  

Short-term preparation (Next month):

• ✅ Obtain mortgage agreement in principle
  
• ✅ Build deposit fund (minimum £15,000)
  
• ✅ Choose conveyancing solicitor
  
• ✅ Setup property alert notifications
  

Ongoing monitoring:

• ✅ Weekly property search updates
  
• ✅ Monthly financial review and savings targets
  
• ✅ Quarterly scheme policy updates
  
• ✅ Annual income and eligibility verification
  

Professional Support Available

Mortgage advice: Government-approved advisors through MoneyHelper or local authority partnerships. Free initial consultations available.

Legal guidance: Citizens Advice Bureau provides free housing law advice. Local law centers offer specialist assistance for government schemes.

Financial planning: Independent Financial Advisors with first-time buyer expertise can optimize your deposit strategy and mortgage options.

Stay Updated on New Developments

Subscribe to borough newsletters: Receive advance notice of new developments and policy changes affecting local First Homes availability.

Developer marketing lists: Register with major London developers (Peabody, L&Q, Clarion) for early access to new scheme properties.

Government policy updates: Monitor DLUHC announcements for scheme modifications, price cap changes, or eligibility criteria updates affecting London applicants.

Ready to start your First Homes journey? Register with your preferred London borough today and take the first step toward affordable homeownership with up to 30% discount on market prices.

Tell me witch Part of London Borough you buy your first Homes , Comment Below!

Resource url:

• UK Government Official Guide:
  https://www.gov.uk/first-homes-scheme
• Government “How to Apply” Instructions:
  https://www.gov.uk/first-homes-scheme/how-to-apply
• Comprehensive consultation document on scheme structure and policy:
  https://assets.publishing.service.gov.uk/media/605b1b8c8fa8f545d43cda7e/First_Homes_consultation_response.pdf
• Greater London Authority: Buying and Owning a Home (inc. scheme context):
  https://www.london.gov.uk/programmes-strategies/housing-and-land/buying-and-owning-home
• First Time Buyer Schemes 2025 Overview (National Homeowners Advice):
  https://hoa.org.uk/advice/guides-for-homeowners/i-am-buying/government-schemes-help-buy-home/