Who qualifies for the Your First Home scheme?
Last checked 28 September 2026
Only the outline has been announced. The income cap, price caps and the detailed tests are due at the Budget on 28 October 2026. Here's what's known, what's expected, and what Help to Buy's rules looked like, since the government says the new scheme builds on the lessons of earlier ones (LBC).
Independent guide. We are not the government, Homes England, a housebuilder or a lender, and this is not an official site for the scheme. Everything here is general information to help you understand it, not financial advice. The scheme's rules are due at the Budget on 28 October 2026.
What's been announced
| Condition | What we know | Status |
|---|---|---|
| Who | First-time buyers | Announced |
| Where | England | Announced |
| What you can buy | A new-build home from a developer signed up to the scheme | Announced |
| Deposit | At least 2.5% | Announced |
| Equity loan | 20% of the price | Announced |
| Household income | A cap will apply; the figure is not published | Due at the Budget |
| Home price | Local property price caps will apply; figures not published | Due at the Budget |
| Maximum price | £600,000 reported by some outlets, not in the government's announcement | Unconfirmed |
| Mortgage | The rest of the price (77.5% with a 2.5% deposit) | Follows from the split |
Sources: the government's announcement (GOV.UK, 26 September 2026); HomeOwners Alliance (28 September 2026); Global Banking & Finance Review (the £600,000 report).
First-time buyer: what it meant last time
The new scheme's definition hasn't been published. Under Help to Buy (2021 to 2023), a first-time buyer could not own, or have owned, a home or residential land anywhere in the UK or abroad, could not have had a sharia mortgage, and everyone buying had to meet the test (HomeOwners Alliance). The new scheme may use a similar test, but that isn't confirmed.
Income cap
There will be a household income cap, so the scheme is aimed at people on regular incomes who can't build a big deposit (The Intermediary). No figure has been given. For reference only, other schemes for first-time buyers in England use £80,000 a year, or £90,000 in London: Shared Ownership (GOV.UK) and First Homes (GOV.UK). Nothing says Your First Home will use the same numbers.
Price caps
The announcement says local property price caps will apply, and coverage describes the aim as focusing support on more modest new-build homes (The Intermediary). Help to Buy did this from 2021 with regional caps, from £186,100 in the North East to £600,000 in London (HomeOwners Alliance). Our Help to Buy comparison lists all nine. The new caps may be set differently: "local" could mean something finer than regions.
New builds from signed-up developers
Only new homes from developers that sign up qualify, and those developers are expected to pay towards the scheme (GOV.UK). Which developers will take part, and how buyers will apply, hasn't been announced.
You'll still need a mortgage
The equity loan doesn't replace a mortgage. You'll need a lender to lend you the remaining 77.5%, which means passing its affordability and credit checks. Which lenders offer mortgages alongside the scheme hasn't been announced (HomeOwners Alliance).
Things that aren't known yet
- Whether there's an age limit or a minimum mortgage size.
- Whether the home must be your only home, and whether you can let it out later.
- Whether you can combine it with a Lifetime ISA or other help.
- How pre-registration will work and what you'll need to show.
Rules not confirmed yet. The full eligibility tests, income cap and price caps have not been published. The government says the full details will be set out at the Budget on 28 October 2026. We'll update this page when they are.