First-Time Buyer Guide
Everything you need to know about buying your first home.
Getting Started
Buying your first home can feel like a lot. This page covers the main decisions in order, so you can plan with confidence.
Before you start viewing, understand your financial position and what you can realistically afford.
💡 Tips
- •Start saving for a deposit as early as possible
- •Check your credit score and fix any issues
- •Research the areas you would like to live in
Understanding Your Budget
Most lenders offer around 4 to 4.5 times your annual income, and a few go higher. What you can borrow depends on your credit history, your existing debts and the lender's own criteria.
Remember the extra costs: stamp duty, solicitor fees, survey costs, mortgage fees and moving expenses. First-time buyers pay no stamp duty up to £300,000, and 5% on the portion between £300,001 and £500,000. Above £500,000, standard rates apply to the whole price.
💡 Tips
- •Use mortgage calculators to estimate what you can borrow
- •Get a mortgage agreement in principle before house hunting
- •Ask for quotes early and add up your total costs, not just the deposit
Government Schemes
First Homes offers selected new build homes at a discount of at least 30% to eligible first-time buyers, and in some areas up to 50%. The price after discount must be £250,000 or less (£420,000 in London), and household income limits apply (£80,000, or £90,000 in London). Councils can add local rules.
Shared Ownership lets you buy a share of a home, often between 10% and 75%, and pay rent on the rest.
💡 Tips
- •Check every scheme's eligibility rules before you commit
- •Details change and vary by area, so confirm on the scheme's official page
- •Read about the Lifetime ISA on the deposit page