At Gleeson we understand how life-changing homeownership can be, especially when you're taking that big step of moving out of your parents’ home or rented accommodation, which is why we’re delighted to be able to offer the Government backed First Homes scheme for first-time buyers.
First Homes is a fantastic new Government scheme created to help more people onto the property ladder.
First Homes is a new scheme designed to help local first-time buyers and key workers onto the property ladder, by offering homes at a discount of 30% compared to the market price. The discounts will apply to the homes forever, meaning that generations of new buyers and the local community will continue to benefit every time the property is sold.
Through the scheme, selected new build homes are available to first-time buyers at a discount of at least 30% of the market value, with priority given to those living in the local community surrounding our development as well as to key workers.
If you are a first-time buyer who meets your local authorities’ criteria, you could be eligible to purchase a stunning Gleeson home through the First Homes scheme. The discount will then apply to that home forever – meaning aspiring homeowners, just like you, can take advantage of the scheme for years to come.
Your first home is no different to the rest of the beautiful homes on your development, you will have exactly the same access to our vast options range, and your First Home belongs to you, so you'll have full ownership, the only difference is, you pay from 30% less to buy it.
You’ll need to meet certain criteria of the scheme, which could differ based on your local authority:
To be eligible to use the First Homes scheme you must meet the following criteria:
- All purchasers must be first-time buyers.
- Purchasers must have a household income not exceeding £80,000, or £90,000 in London (this can be lower if set by the local authority).
- The maximum price of the home (after the discount has been applied) must not exceed £250,000 (applicable to first sale only, this condition will not apply to any subsequent sales).
- You must have at least a 5% deposit.
- You must acquire a mortgage for at least 50% of the home.
- You must meet any local connection criteria, or key worker criteria, as determined by the local authority.
- Your first home property should be your only residential property for the duration of your first homeownership.
Members of the Armed Forces and veterans who have left the Armed Forces within the last five years are exempt from needing to meet any local connection or key worker restrictions set by local authorities. These restrictions will also not apply to bereaved spouses and civil partners of service men and women whose deaths have been wholly or partly caused in service. In such cases, all other eligibility criteria, including first-time buyer status and the household income caps, would still have to be met.
How do I apply?
If there’s a home on a development you’re interested in that offers this scheme, please do get in touch. We’ll check to see if you meet the criteria and will help you complete an application form to get your dream home reserved!
First Homes will be subject to a price cap to ensure that they are available to people who need them. The cap, after the discount has been applied, is £250,000 across England and £420,000 in London. Local authorities will be able to set lower price caps to ensure that First Homes are right for the local market. These price caps apply for the initial sale only.
Yes. The First Homes scheme is intended to help people who would otherwise find it difficult to get onto the property ladder. For this reason, buyers must get a mortgage that covers at least 50% of the cost of the First Home, after the discount has been applied. Home purchase plans are also acceptable in accordance with Sharia law.
The stamp duty calculation for a First Home is based on the amount of money that is actually paid for the home, after the discount has been applied. Currently first-time buyers can expect no stamp duty on the first £300,000 spent on a property.
No. If your First Home is a house, you will own the freehold on the property. This means that you own all of the home
If your First Home is a house, you can make any improvements you wish to your home subject to planning regulations, our covenants, and your mortgage agreement. However, you should bear in mind that you may not recoup your investment when you decide to sell your First Home as the original percentage discount you received at purchase must be passed on to the next buyer.
What are the price caps on a First Home?
Do I have to get a mortgage to buy a First Home?
How much stamp duty land tax will I need to pay?
Can I use the Help to Buy: Equity Loan to purchase a First Home?
Will I only own part of my First Home?
Can I extend my First Home?
How do I sell my First Home?
A First Home has a restriction on its future resale in that you can only sell to another qualifying first-time buyer at the same percentage discount, for example, if you purchased your home at a 30% discount compared to the open market price, you must also sell it for a 30% discount compared to its open market value at the time of sale, this is to ensure the First Home continues to benefit others.
You must have your First Home valued by a valuer accredited by the Royal Institute of Chartered Surveyors (RICS). The surveyor will assess the market value of your home on the basis of comparable market value homes, and will then apply the original percentage discount you received when you initially purchased your First Home.
The process for selling First Homes is similar to the process for selling properties on the open market but you must request approval to sell from the local authority and share the eligibility criteria with the estate agent.