Government Home Buying Schemes London | Shared Ownership, First Homes & More | Links FS
Government Schemes Β· London & Essex

Government schemes that help you buy sooner.

Shared Ownership, First Homes, and the Mortgage Guarantee Scheme can dramatically reduce the deposit and mortgage needed for your first home in London. We advise on every current government scheme and find the mortgage that works alongside it β€” free, no obligation.

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Excellent Β· 5.0 Β· First-time buyers across London, Romford, Ilford & Essex
Key scheme features we assess
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Shared OwnershipBuy a share, pay rent on the rest
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First Homes β€” 30–50% discountNew-builds at below market value
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95% Mortgage Guarantee SchemeBuy with just a 5% deposit
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Help to Buy ISA / LISA bonusMaximise your government top-up
βœ“ Free scheme comparison β€” no obligation
Current schemes

Government schemes available to London buyers right now.

The landscape of government home-buying schemes changes regularly. Here are the main options currently available and who each one suits β€” based on clients we advise every week in London and Essex.

Most popular in London
Shared Ownership β€” buy a share from 10%
Shared Ownership lets you buy a share of a home β€” between 10% and 75% β€” and pay a subsidised rent on the portion owned by the housing association. Your mortgage covers only the share you are buying, which makes both the deposit required and the monthly mortgage payment substantially lower than buying outright. Over time you can purchase additional shares (staircasing) until you own the property outright. Particularly relevant in London where full purchase prices are high relative to income multiples.
New builds
First Homes β€” up to 50% off market value
First Homes is available on new-build properties and offers a minimum 30% discount off market value to eligible first-time buyers. Key workers β€” including NHS staff, teachers, and emergency services β€” are prioritised in many developments. In London, the maximum post-discount property value is Β£420,000. The discount is preserved permanently, so when you sell you must sell at the same percentage discount to another eligible buyer. Standard mortgages are available on First Homes properties.
5% deposit
Mortgage Guarantee Scheme β€” 95% LTV on any property
Unlike Shared Ownership, the Mortgage Guarantee Scheme allows you to buy any eligible property (up to Β£600,000) with just a 5% deposit. The government guarantees the lender's exposure above 80% LTV, encouraging high-street lenders to offer 95% mortgages they would otherwise avoid. Available to both first-time buyers and existing homeowners. This is often the simplest route for buyers with small deposits who want to buy on the open market rather than through a scheme-specific property.
ISA bonus
Help to Buy ISA & Lifetime ISA β€” government top-ups
The Help to Buy ISA closed to new applicants in 2019, but existing holders can still claim the 25% government bonus (up to Β£3,000) until November 2029. The Lifetime ISA remains open and allows up to Β£4,000 per year in savings with a 25% government bonus (up to Β£1,000/year), usable on properties up to Β£450,000. The LISA bonus can be used towards your deposit directly. We advise on how to maximise both ISA bonuses alongside your mortgage strategy and which properties each ISA can be used on.
Choosing the right scheme

Not every scheme suits every buyer.

Government schemes are designed to solve specific problems β€” insufficient deposit, high property prices, low income relative to house prices. But the wrong scheme can create problems too. Shared Ownership comes with service charges and rent obligations on top of the mortgage. First Homes restricts your future resale market. The 95% Mortgage Guarantee Scheme means a higher LTV and therefore more interest paid over time.

Our job is to help you understand the true total cost of each option β€” not just the headline deposit figure. For some buyers in Romford or Ilford, a 95% mortgage on the open market is the cleanest route. For others, Shared Ownership in East London is the only way to get onto the ladder with the savings they have. We map your income, savings, and target location against every available scheme and give you an honest comparison.

We also advise on whether a scheme purchase affects your future flexibility β€” can you remortgage freely? Can you sell easily? Can you staircase to 100% if your income grows? These questions matter as much as how you get in.

  • Whole-of-market search for scheme-compatible mortgages
  • Comparison of all schemes side-by-side for your circumstances
  • True total cost calculation β€” deposit, monthly payment, rent, fees
  • Advice on LISA and Help to Buy ISA bonus timing
  • London, Hornchurch, Romford, Ilford, Barking, Dagenham, Essex
  • Free initial consultation β€” no obligation
Find the right scheme for me β†’
Scheme Min. deposit Property type Eligibility
Shared Ownership 5% of share New & existing HA First-time buyers
First Homes 5% (post-discount) New-build only FTB / key workers
Mortgage Guarantee 5% Any up to Β£600k FTB & movers
Lifetime ISA Bonus up to Β£1k/yr Up to Β£450k Under 40, first home
Help to Buy ISA Bonus up to Β£3k total Any (completion) Existing holders only

Government scheme figures β€” London

Key numbers for buyers using schemes in London and Essex.

5%
Minimum deposit on most schemes
Β£3k
Max Help to Buy ISA bonus
50%
Max First Homes discount
Β£420k
First Homes London price cap
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Scheme rules change: Government scheme eligibility, price caps, and availability change regularly. Always verify current criteria with us before making any property decision based on scheme eligibility.

The process

How we help you buy using a government scheme.

From identifying the right scheme through to mortgage completion β€” here is what the process looks like when you work with us.

1
Free consultation

We review your income, savings, and target area to identify which scheme fits

The first step is understanding your full financial picture. How much have you saved? What is your household income? Where are you hoping to buy? What monthly payment can you comfortably afford? Armed with this, we can tell you clearly which schemes you are eligible for, what each scheme would mean in practice for your monthly costs, and which route gives you the best outcome β€” not just the lowest deposit.

2
Mortgage in principle

We secure a mortgage in principle so you can search with confidence

Before you view properties or approach a housing association, you need to know exactly how much you can borrow and what deposit a lender will accept. We arrange a mortgage in principle from a suitable lender β€” for scheme purchases, this often needs to be a specialist lender familiar with the scheme's requirements. We handle this so you can search with confidence and move quickly when you find the right property.

3
Property found

We submit the full mortgage application and manage the process

Once you have found a property and your offer is accepted, we submit the full mortgage application. For Shared Ownership, we liaise with the housing association as well as the mortgage lender β€” some associations require specific forms or financial assessments. We manage all communication between parties, chase progress, and keep you updated throughout. Scheme purchases can be more complex than standard purchases β€” experienced brokers matter here.

4
ISA bonus

We brief your solicitor on ISA bonus timing to ensure you do not miss out

The Help to Buy ISA bonus is paid by your solicitor on completion β€” it cannot be used as part of your exchange deposit. Your solicitor must apply to the government for the bonus before completion. Many first-time buyers lose their bonus simply because their solicitor was not briefed early enough. We make sure this does not happen by briefing the conveyancer at the start of the process and following up at key milestones.

5
After completion

We advise on staircasing, remortgage options, and future planning

Buying through a scheme is not the end of the journey β€” it is the beginning. For Shared Ownership buyers, we advise on the staircasing process when you are ready to buy additional shares, and arrange the mortgage for each tranche. For all scheme buyers, we review your mortgage at the end of the initial deal period and remortgage you to the most competitive rate available at that point. Your circumstances and credit record will have improved β€” and we want you to benefit from that.

Common questions

Government scheme questions answered honestly.

Questions we hear every week from buyers across London, Romford, Ilford and Essex. Call us if yours is not here.

What is Shared Ownership and how does it work?

Shared Ownership allows you to buy a share of a property β€” typically between 10% and 75% β€” from a housing association, and pay rent on the remaining share you do not own. You take out a mortgage on the share you are buying, which reduces the deposit and mortgage amount needed significantly. Over time you can buy additional shares (staircasing) until you potentially own 100%. Available on new-build and some existing homes through housing associations across London and Essex.

What is the First Homes scheme?

First Homes is a government scheme offering discounted new-build homes to first-time buyers, key workers, and local people in England. The discount is a minimum of 30% off market value, up to 50% in some areas. In London, the maximum property price after discount is Β£420,000. The discount is preserved in perpetuity β€” when you sell, you must sell at the same percentage discount to another eligible first-time buyer. Standard mortgages are available on First Homes properties from mainstream lenders.

How does the Mortgage Guarantee Scheme work?

The Mortgage Guarantee Scheme allows buyers to purchase with a 5% deposit by providing a government guarantee to the lender on the portion of the mortgage above 80% LTV. This reduces the lender's risk and makes 95% mortgages available from high-street lenders. The scheme covers properties up to Β£600,000 and is available to both first-time buyers and existing homeowners. You apply through a participating lender in the usual way β€” the government guarantee is arranged in the background and has no impact on your day-to-day mortgage.

Can I still use my Help to Buy ISA bonus?

Yes β€” if you already have a Help to Buy ISA, you can continue saving into it and claim the 25% government bonus (maximum Β£3,000 on Β£12,000 of savings) until November 2029. The bonus is paid by your solicitor on completion and cannot be used as part of your exchange deposit. If you do not yet have an ISA, the Help to Buy ISA closed to new applicants in 2019, but you can still open a Lifetime ISA which offers a similar 25% bonus (up to Β£1,000 per year) and can be used towards your deposit directly.

Can I use a Lifetime ISA for my first home?

Yes. A Lifetime ISA allows you to save up to Β£4,000 per year and receive a 25% government bonus β€” up to Β£1,000 per year β€” which can be used towards a first home purchase on properties up to Β£450,000. Unlike the Help to Buy ISA, the LISA bonus can be used directly as part of your deposit. You must have held the LISA for at least 12 months before using it. You can hold a LISA alongside a Shared Ownership mortgage or a standard residential mortgage through the Mortgage Guarantee Scheme.

Are there other costs with Shared Ownership beyond the mortgage?

Yes, and this is important to understand before committing. In addition to your monthly mortgage payment, you pay rent to the housing association on the share you do not own. This rent is typically set at a subsidised rate but still represents a real monthly cost. Shared Ownership properties are also leasehold, which means you pay a service charge for maintenance of communal areas and buildings. You may also need to pay ground rent. We calculate the full monthly outgoing β€” mortgage, rent, service charge β€” before you commit to any Shared Ownership purchase.

Get in touch

Find the right scheme for your situation.

Fill in the form and Jagpal will personally call you back, usually within a couple of hours. Tell us your income, savings, and target area and we'll give you a clear picture of which schemes you qualify for and which route is most likely to get you into a home. Free, no obligation.

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Call Jagpal directly01708 202 175
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Visit by appointment18 Roneo Corner, Hornchurch RM12 4TN
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Opening hoursMon–Fri 9am–6pm Β· Sat by appointment
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Get on the ladder with the right scheme.

We compare every government scheme available to you and find the mortgage that makes it work. Free consultation, no obligation β€” speak to Jagpal today.

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