Who can benefit from First Home Fund?
The First Home Fund* has been introduced by the Scottish Government to help first-time buyers in Scotland to purchase a property.
To take part in First Home Fund, you’ll need to be a first-time buyer. You will put down a minimum 5% deposit on your new home (subject to individual lender requirements) and your mortgage must be at least 25% of the purchase price.
Here's how it could work...
Who is eligible for the First Home Fund?
To qualify you must also be a first-time buyer who, does not own, or has not previously owned, a property in Scotland or anywhere else in the world.
If you are applying for a joint mortgage, only one applicant needs to be a first-time buyer to qualify for the scheme.
Will I own the property?
Yes, with the First Home Fund, you’ll own the property outright. The Scottish Government will have an equity stake in your home.
How does the First Home Fund equity stake work?
The Scottish Government will contribute a maximum of 49% equity stake based on the property valuation or purchase price, whichever is lower, up to a maximum of £25,000.
The remaining stake is made up through a deposit contribution and mortgage from a bank or building society.
When do I repay the First Home Fund equity stake?
The Scottish Government equity stake is repayable when you sell your home.
Which properties are eligible for the First Home Fund?
The assistance is available on all properties, including new build properties in Scotland, for completions taking place from 18th December 2019 until 31st March 2021. *Find out more here.