The government is introducing a new equity loan program for first-time buyers and expanding local powers to address long-term empty properties.
Key facts
- •The 'Your first home' scheme requires a minimum deposit of 2.5% and offers a 20% equity loan.
- •The program includes income and price caps to prevent those with high salaries or large savings from participating.
- •Registration for the new scheme is scheduled to open by the end of 2026.
- •The government aims to bring over 300,000 long-term empty homes back into use by shortening the eligibility period for management orders.
- •Housing Secretary Angela Rayner recently noted a 'slim chance' of meeting the government's target of building 1.5 million homes by the next election.
Andy Burnham has announced a new housing initiative called 'Your first home' designed to assist first-time buyers in England who lack family financial support. The program provides a 20% equity loan for new-build homes, requiring a minimum deposit of 2.5%. The scheme aims to support individuals with regular incomes who struggle to save for large deposits, while implementing income and price caps to target those most in need.
By the numbers
Program Details and Funding
The 'Your first home' scheme will be officially announced by John Healey in the upcoming budget, with registration expected to open by the end of 2026. The program will be funded by reprioritizing existing government budgets, though it remains unclear if this involves reallocating funds from current housebuilding projects. Participating developers will pay a fee based on property values to help cover the scheme's operational costs.
Addressing Empty Homes
In addition to the new loan scheme, the government plans to strengthen the powers of local leaders to manage derelict and long-term empty homes. By updating empty dwelling management orders (Edmos), the government intends to make over 300,000 long-term empty dwellings available for families. The eligibility period for an Edmo will be reduced from two years to six months, and local authorities will face fewer evidential requirements when dealing with the residential property tribunal.
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This article was independently rewritten by ManyPress editorial AI from reporting originally published by Guardian Politics (UK).
