Your guide to first-time buyer help in the UK

Buying your first home can feel like a big leap. But you do not have to jump alone! 

In the UK, there are several schemes to help first-time buyers, from helping with your deposit to getting a mortgage. 

Here is a quick guide to some of the most common options… 

Deposit Unlock 

Deposit Unlock helps you buy a new build home with just a 5% deposit. You own 100% of your home and get a normal mortgage. 

Perenna is the only lender on the scheme that allows your deposit to come from you, the developer (if they offer incentives), or a mix of both, meaning you might need to save less upfront. 

Deposit Unlock helps first-time buyers and home movers get on, or up the property ladder. 

Own New 

If you want to buy a new build home, Own New could help. 

This scheme connects home builders and lenders to provide cheaper mortgages with lower interest rates. Normally, the discount only lasts for the initial fixed rate, but with Perenna, it applies for the full mortgage term. 

Own New is funded by housebuilders (via a small fee when you complete). And you own 100% of your home. 

Shared Ownership 

Buy part, rent the rest. Shared Ownership lets you purchase a share of a property (for example, 25% or 50%) and pay rent on the rest. 

Over time, you can buy more shares (“staircasing”) until you own your home outright. 

This means lower upfront costs and smaller monthly payments than buying the whole home. Availability and rules can differ by area. 

First Homes Scheme 

Get a new build home at a discount of at least 30% off the market price. 

This scheme is run by local councils and aimed at local buyers and key workers, like teachers, nurses, and armed forces members, helping them buy in the communities where they live or work. 

The discount applies to all future sales, keeping the home affordable for generations. Available across England through local authorities and developers. 

Lifetime ISA (LISA) 

A Lifetime ISA is a savings account for 18- to 39-year-olds. The government adds a 25% bonus to your savings, up to £1,000 a year. 

It is for first-time buyers or anyone saving for later life. You can use your savings and the government bonus to buy your first home (up to £450,000) or for retirement. 

You must have had your LISA open for at least 12 months before using it for a home purchase. Withdrawals for other reasons have a charge. 

Low / No deposit mortgages 

Some lenders let you get a mortgage with little or no deposit. They can look at your rent payments as well as your usual affordability checks. 

It is important to get advice from a qualified mortgage broker to make sure these products are right for you. You can find a broker here. 

How to check eligibility? 

Each scheme has its own rules, like income limits, location, and property price caps. To be sure you meet them, check the official government or developer websites for the full details. 

Even if your savings are not huge yet, there could be a path forward. Exploring your options is the first step, you might be closer to your first set of keys than you think. 

How could Perenna help? 

We are here to help you explore your mortgage options, with features that could make buying your first home more manageable: 

• Borrow up to 6 times your income (subject to criteria). 

• Fix your rate for the full mortgage term, so your payments never change. 

• Short early repayment charges for added flexibility. 

Try our mortgage calculator. 

You could lose your home if you don’t keep up your mortgage repayments.  

Correct at time of publishing.