If you’re saving for your first home, you’re not alone — and thankfully, you don’t have to do it alone either, there’s Government help for first-time buyers.
The UK Government offers several schemes to make getting on the property ladder more affordable. Here are three of the main support options for first-time buyers available in 2025:
1. First Homes Scheme
What is it?
The First Homes Scheme helps local first-time buyers and key workers purchase a new-build property at a discount of 30% to 50% off the market price.
Who’s it for?
- First-time buyers in England
- Local residents or key workers
- Household income under £80,000 (or £90,000 in London)
- Properties must be a new-build from a participating developer
- Purchase price capped at £250,000 (or £420,000 in London) after the discount
How it helps:
It reduces the size of your mortgage and deposit by lowering the overall purchase price. The discount remains with the property for future first-time buyers too.
2. Lifetime ISA (LISA)
What is it?
The Lifetime ISA (LISA) is a government savings account designed specifically to help you buy your first home or save for retirement.
How it works:
- You can save up to £4,000 a year
- The government adds a 25% bonus — up to £1,000 per year
- Use the funds towards buying your first home (up to £450,000) after 12 months of saving
Who’s eligible?
- UK residents aged 18–39 (to open a LISA), you can pay into a LISA until you turn 50.
- First-time buyers purchasing a residential property
- The home must be used as your main residence
Top tip:
Many first-time buyers use a LISA alongside their deposit savings — it’s one of the most efficient ways to boost your pot.
3.Shared Ownership
What is it?
Shared Ownership lets you buy a share of a property (usually 10%–75%) and pay rent on the remaining portion. You can increase your share over time through a process called “staircasing”.
Key features:
- Smaller deposit needed (based on your share, not full market value)
- Available on new builds or resale homes
- Typically open to first-time buyers with household incomes under £80,000 (£90,000 in London)
Why it helps:
It makes home ownership accessible sooner — especially in areas where buying outright would be unaffordable.
Final Thought
These schemes can provide a real leg-up on your homebuying journey — whether you’re boosting your deposit with a LISA, reducing your mortgage through First Homes Scheme, or stepping onto the ladder via Shared Ownership.
Get in Touch
Not sure which scheme suits you best?
Speak to one of our mortgage experts at LTC Mortgages today — we’ll help you make sense of your options and guide you through the process from start to keys in hand.
Click the link below to book your free, no obligation quote:
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