First-time buyers across Scotland will be able to apply for a £10,000 deposit boost under a new Scottish Government scheme set to launch by the end of June.
The First Homes Fund will offer a shared-equity arrangement to anyone taking their first step on to the property ladder, covering both new-build and existing properties up to a value of £300,000.
Cabinet Secretary for Social Justice and Housing Shirley-Anne Somerville announced the scheme’s opening date to the Scottish Parliament, saying that ministers were taking “decisive action” to help first-time buyers.
Opposition parties warned, however, that the scheme would largely benefit wealthier buyers and inflate house prices.
The Scottish Government expects the initial phase to support 2,000 households within the first 100 days of the administration, with a target of 50,000 first-time buyers helped over the course of the parliament.
Announcing the commencement of the scheme to parliament, Ms Somerville said: “For too many people across Scotland, particularly younger people and first-time buyers, home ownership has felt increasingly out of reach.
“In communities the length and breadth of our nation, we are hearing the same story; people saving what they can but finding that the cost of a deposit is simply too great a barrier.
“That is the context in which this Government will act. This is a direct response to the experience of people across Scotland. We have listened and are taking fast, decisive action.
“The Fund sits within a broader programme of action and supported by a record £4.9 billion investment in affordable housing over the next four years.
“We promised we would support first time buyers and we are delivering.”
A report from the Institute of Fiscal Studies last month noted that a similar government Help to Buy scheme primarily benefited higher earners.
These findings were noted by both the Scottish Tories and Scottish Greens, who warned that the scheme could make houses “less not more affordable”.
Labour warned that the initiative could further drive property prices up.
Under the scheme, the government takes an equity stake in the property in proportion to its contribution, but buyers hold full title and face no monthly repayments or interest charges. The government’s share is typically repaid when the property is sold.
The fund forms part of a wider housing package backed by what ministers describe as a record £4.9 billion investment in affordable housing over the next four years.
Further details on how to apply are expected to be published ahead of the June opening.
Ross Chalmers is a journalist focusing on local Edinburgh news, transport, the environment, the arts, and housing.
He graduated from Edinburgh Napier University with a degree in journalism in Summer 2025 and began working at Deadline News as a reporter in August.
