# England’s £4.7bn scheme offers first-time buyers loans for new builds

- URL: https://talkfuse.com/story/what-you-need-to-know-about-your-first-home-scheme-for-first-time-buyers/
- Published: 2026-10-28T17:56:21+00:00
- Updated: 2026-10-28T18:27:15+00:00
- Original publisher: The Guardian (publisher lean: Left)
- Original article: https://www.theguardian.com/money/2026/sep/28/first-home-scheme-first-time-buyers-what-you-need-to-know
- Topics: Business, Government, Politics

## Key points

- £4.7bn scheme targets 70,000 first-time buyers in England.
- Buyers can borrow 20% of a new-build home’s price.
- The equity loan is interest-free for five years.

## Summary

The government has set out how its £4.7bn Your First Home scheme will help first-time buyers in England purchase new-build homes. It is intended to make buying more affordable for people without family help, with the government saying buyers could save hundreds of pounds a month.

Eligible buyers using a participating developer can borrow 20% of the purchase price through an equity loan, interest-free for five years, and put down a deposit of 2.5% to 15%. Household income limits are £110,000 outside London and £140,000 in London, with local price caps; announced examples include £650,000 for inner London and £220,000 for Middlesbrough. Interest on the loan rises to 1.5% in year six and 3% from year seven, while the amount repaid is linked to the home’s value. Pre-registration is expected by the end of December, applications from February 2027 and first loans from April 2027.

---
Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.