The relaunched First Home Fund Scotland is a shared equity initiative designed to support first-time buyers. The Scottish Government can contribute up to £10,000 towards the price of your home (subject to a £300,000 price cap), reducing the mortgage you need and the deposit required. You own your home in full legal terms, while the government holds a proportional stake that is typically repaid when you sell or when you choose to buy back the share.
The scheme is open to all first-time buyers in Scotland who are taking out a mortgage. While the scheme is open to all first-time buyers there are a few requirements that you will need to be aware of:
There is a limit of one application per property. You can submit a joint application, however, you will be limited to one award of £10,000.
Your mortgage must be at least 25% of the purchase price.
Your mortgage must be capital repayment.
The property must be the sole residence of all applicants. The scheme is not available for buy-to-let properties.
You cannot apply to other Scottish Government shared equity schemes while also applying to this scheme. If you have an open application to any other shared equity scheme in Scotland you must withdraw this before you apply to this scheme. However you are able to use a Help to Buy: ISA or Lifetime ISA to go towards your deposit.
Further information about the scheme can be found at First Homes Fund | Link Group. We recommend you speak with an Independent Financial Advisor before you apply, to ensure that this scheme is right for your circumstances.
If you're not eligible for the First Homes Fund, there are other ways we could help you purchase your dream Cala home as a first-time buyer. Speak to us about a deposit contribution or other ways we can support you to buy your first home.
Looking to buy your first home but live in England? Take a look at the First Homes Scheme England:
Find out more about our first-time buyer schemes below:
The First Homes Fund scheme is available on homes up to the value of £300,000. Explore our range of 2 & 3 bedroom homes below.
First Home Fund is available on homes in Scotland with a home report value of up to £300,000, bought by a first time buyer.
The Government does require that the property is a ‘Tolerable Standard’. This has a legal definition and includes requirements like being structurally stable, among others.
All CALA Homes of course meet and surpass the Tolerable Standard requirements.
Yes, but you should be aware that you cannot conclude missives more than six months before the legal completion of the sale. Check that your mortgage offer will still be valid at that time.
The scheme is open to all first-time buyers in Scotland who are taking out a mortgage.
A first-time buyer is anyone who has never owned a property (as either a sole or a joint owner) in Scotland or anywhere else in the world. While the scheme is open to all first-time buyers there are a few requirements that you will need to be aware of:
• There is a limit of one application per property. You can submit a joint application, however, you will be limited to a maximum of £10,000.
• Your mortgage must be at least 25% of the purchase price.
• Your mortgage must be capital repayment.
• The property must be the sole residence of all applicants. The scheme is not available for buy-to-let properties.
• You are able to use a Help to Buy: ISA or Lifetime ISA to go towards your deposit.
First Home Fund equity loans are granted as a percentage of the value of your new home. If your new home’s value rises or falls, so will the value of your equity loan. When you sell your home, you will pay back the First Home Fund percentage of your home’s value at the time of the sale, which might be higher or lower than what you borrowed.
You will not pay interest on the equity loan. However, the government’s share is a percentage of the purchase price, and the same percentage is repaid when you sell or buy back the stake. You will need a bank mortgage on the property, which will charge interest.
There are no monthly payments to be made towards the Scottish Government and no interest will be charged.
You should be aware that there is a fee to pay when you make your application. The details of this fee can be found on the Link Housing website.
The first step is reserving your CALA home. Our helpful Sales Consultants will then help you to find the right IFA to find out how First Home Fund can work for you. You can also find more information on the Link Housing website.
First Home Fund is available on all homes with a maximum value of £300,000. You will need a deposit of at least 5% of the value of your chosen home and you must plan to take out a mortgage of at least 25% of the purchase price.
The scheme is only available to first time buyers. We will put you in touch with an independent financial advisor to help you find out if you qualify and help you apply.
The Scottish Government could put up to £10,000 as an equity loan or 49% of the purchase price (whichever is lower).
The equity loan is interest free and can be repaid at any time. On sale of your home, you will need to pay back the percentage of equity still outstanding.
There’s nothing quite like moving into a brand-new home. From newly installed kitchens and bathrooms to the peace of mind of knowing that your property is safe, energy efficient and low maintenance.
What’s more, you’re buying a complete blank canvas on which to stamp your own individual style. Take a look at our top reasons to buy a new home below.
Opting for a new build home means less maintenance and cost compared to older houses. Modern construction ensures durability, minimising the need for constant repairs. Enjoy a low-maintenance lifestyle and the peace of mind that your home is designed for longevity, freeing up your time and money for what matters most.
Purchase your home from a plan and tailor it to your own individual taste. Choose from a range of high-quality kitchens and bathrooms, with customisable styles, colors, and finishes that reflect your personal preferences.
Your new home is covered by an NHBC or similar industry-regulated insurance scheme covering the structural integrity of your new home from years three to 10.
The first two years of the warranty is provided by us. This means we take responsibility for fixing any quality issues during this period after you move in. We also provide you a 24-hour response service for emergency calls. We take personal pride in our customer service.
A new build home allows you to make it your own. When you move into a new home, there’s no need to live with other people’s decorating disasters! Your light, spacious and neutral interior is the perfect blank canvas on which to create a home to suit your individual taste and lifestyle.
Choosing a new home means embracing advanced energy efficiency. With superior insulation and modern energy-saving features, your new property outperforms older homes, ensuring not just comfort but also cost savings over time. Make a smart investment in a home that aligns with contemporary standards for sustainable living.
Prioritising prime locations, we meticulously select sustainable sites that offer convenient access to local schools, amenities, and robust transport links. Our focus on strategic placement ensures that your new home is not just a residence but a gateway to a well-connected and vibrant community. Choose the advantage of a location that complements your lifestyle while contributing to the long-term value of your investment.
Experience a chain-free move with our Part Exchange service. Say goodbye to the complications of being stuck in a chain, saving both time and money. Discover more about this hassle-free option and explore the convenience through our Part Exchange calculator.
Join a vibrant new community when you choose one of our developments. Whether showcasing modern or traditional architecture, our designs are crafted to nurture a strong sense of community. Experience the satisfaction of becoming a valued part of a neighborhood where connection and camaraderie thrive.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
A second charge over your home is required. The First Home Fund cannot be used in conjunction with part exchange or any Scottish Government shared equity schemes Availability of other incentives/offers subject to lenders criteria and Cala’s
discretion. Your mortgage lender’s deposit requirements may vary, but you should usually expect to contribute a deposit of at least 5% of the purchase price. Available on selected properties, and subject to the Government’s specific terms, conditions and qualifying criteria.
CHECK THAT THIS MORTGAGE WILL MEET YOUR NEEDS. PLEASE SEEK INDEPENDENT FINANCIAL ADVICE.
