The Scottish Government has relaunched the First Homes Fund, a shared-equity initiative that helps first-time buyers take that first step onto the property ladder sooner, with less pressure on their savings. It provides eligible buyers with up to £10,000 towards a home, giving a boost where it matters. At Scottish Property Centre, we're already helping buyers understand what it means for their own move.

This is not a loan; there are no monthly repayments or interest. Instead, it works directly through a shared equity framework. The government contributes up to £10,000 towards your purchase and takes a percentage share in the home, matching their contribution.

For example, if you buy for £200,000 and receive £10,000, the government holds a 5% share. When sold, they receive 5% of the sale price. You fully own your home in terms of legal title and day-to-day control. There are no ongoing payments, and no interest is added. It is a one-off contribution that shares in future value rather than increasing monthly costs.

To ensure it supports first-time buyers, the key conditions are:

* You must be a first-time buyer (in joint applications, at least one person must qualify)

* The chosen property must be valued at £300,000 or less

* It can be a new-build or an existing home

* You need a repayment mortgage covering at least 25% of the price

* A personal deposit is required, usually around 5

This gives buyers flexibility to choose from a wide range of homes rather than being restricted to specific developments, and our team at Scottish Property Centre can help you see what's realistically within reach under the scheme.

Timing matters. You apply after your offer is accepted or a new build is reserved, but before the legal process is completed (concluding missives). Applications are made online through the scheme administrator, and mortgage advisers often guide the process. Once approved, there's a £650 application fee to budget for, though this is refunded if your purchase doesn't go ahead.

Because funding is limited and advisers expect strong demand, preparation makes a real difference. Having an agreement in principle ready before viewing properties puts buyers in a stronger position. Speaking to Scottish Property Centre early, before you start viewing, is the simplest way to make sure you're ready to move the moment the right home comes up.

The biggest impact is speed. Instead of spending years building a deposit while rent rises, buyers can move sooner. It helps with upfront costs like legal fees, surveys, moving expenses, and taxes, easing pressure on savings. Another advantage is choice. Buyers are not limited to a narrow list of developments and can look across the market within the maximum threshold.

Because the government holds a percentage share, they benefit from any change in property value. If your home's price increases, your repayment increases. If it falls, the repayment reduces. Over time, buyers can increase their ownership share until they own the property outright.

This support is a practical helping hand, not a shortcut. It works best for prepared buyers ready to move quickly. For first-time buyers in Scotland, it can be the difference between waiting for years and finally stepping into homeownership today.

If you'd like to talk through your own position, the team at Scottish Property Centre is here to help.

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