The government confirmed its new scheme for first-time buyers in the Budget on 28 October. Here’s how it works, and what it could mean if you’ve had your eye on one of our homes.
What is Your First Home?
It’s a government equity loan for first-time buyers buying a new-build home in England.
You put down a deposit of at least 2.5%. The government lends you 20% of the price. A mortgage covers the rest.
On a £300,000 home, that’s a £7,500 deposit, a £60,000 equity loan and a £232,500 mortgage. The mortgage is smaller than it would be without the loan, which can make the monthly payments easier to manage.
What does the loan cost?
Nothing for the first five years. Interest is 1.5% in year six and 3% from year seven, paid separately from your mortgage.
The loan is linked to the value of your home. When you sell, you repay 20% of what it’s worth at that point, so the amount goes up or down with the market. You can also pay some or all of it back earlier.
Who can use it?
You’ll need to be:
- a first-time buyer
- buying a new-build home in England, as your main home, from a developer taking part in the scheme
- buying within the local price cap
- on a household income of £110,000 or less (£140,000 in London)
- able to get a mortgage from a participating lender
Price caps are set for each local authority, based on the area’s median house price. The government hasn’t published Shropshire’s yet. The full eligibility rules are due before applications open.
When does it open?
Pre-registration opens by the end of December. Applications open in February 2027, and the first homes bought under the scheme are expected from April 2027.
What it means for our homes
The scheme only covers England. That includes The Mulberries at Dudleston Heath, but not Wychwood at Four Crosses, which is just over the border in Wales.
Housebuilders have to sign up to take part, and registration for developers hasn’t opened yet. We plan to register as soon as it does.
Which of our homes qualify will depend on the Shropshire price cap. As soon as it’s published, we’ll update this page.
Want to know first?
If you’re a first-time buyer and you’d like to hear the moment we know which homes qualify, register your interest and we’ll be in touch. Or call us on 01691 682 194.
See The Mulberries at Dudleston Heath, or all of our new homes in Shropshire.
Image: The Blenheim, Plot 6, The Mulberries at Dudleston Heath. Computer-generated image, for illustration only.
Scheme details are taken from the government’s Budget announcement of 28 October 2026 and may change before launch. Your home may be repossessed if you do not keep up repayments on your mortgage.