The Autumn Budget has brought welcome news for aspiring homeowners, with a new government-backed scheme designed to help first-time buyers take their first step onto the property ladder.

The Your First Home scheme is expected to allow eligible buyers to purchase a new-build home with a deposit of just 2.5%, supported by a government-backed equity loan worth 20% of the property’s value. The scheme is aimed particularly at people who can afford mortgage repayments but struggle to save a large deposit without financial help from “The Bank of Mum and Dad” .

With the cost of getting onto the property ladder continuing to present a challenge for many buyers, the initiative could open up new opportunities for those looking to buy their first home.

What we know so far

  • The scheme is to be funded by £4.7bn of Government-backed lending and become available, as from Spring 2027.
  • Under the scheme, buyers will contribute a 2.5% deposit and receive a government-backed equity loan of 20%, with a mortgage covering the remaining amount. The loan will have an initial interest-free period, although eligibility criteria, including household income and local property price limits, will apply.
  • The scheme is intended to support purchases of new-build homes from participating developers. Further details on eligibility and implementation will determine exactly how buyers can benefit and the devil will be in the detail.
  • Developers who sign up to the scheme will be asked to make a “contribution” to the running costs.
  • Applications are scheduled to open in February 2027.

Find your first home at Graven Hill

At Graven Hill, we offer a range of new homes designed to suit different lifestyles and stages of the homebuying journey, including options for those looking to take their first step onto the property ladder. As more details are revealed by the Government on Your First Home, prospective buyers should keep an eye out for the eligibility requirements.

If you’re thinking about buying your first home, now is a good time to explore your options, understand your budget and start planning your next move.

Discover the homes available at Graven Hill and take the first step towards finding your place to call home.