First-Time Buyer Hub
Everything you need to plan, calculate and complete your first UK purchase
Buying your first home in the UK is a stack of decisions: how much you can borrow, how big a deposit you need, which government scheme (if any) helps, and what it'll all cost on completion day. This hub pulls the practical answers into one place — calculators, guides and a step-by-step journey.
Start with the numbers
The three figures every first-time buyer needs:
- How much can I borrow? — Affordability calculator. Lenders typically lend 4–4.5× household income, adjusted for any existing debt commitments.
- How much stamp duty will I pay? — First-time buyer SDLT calculator. 0% on the first £300,000 if you qualify, 5% on the slice up to £500,000, and the relief disappears entirely above £500,000.
- What's the full cost to complete? — Moving costs calculator. SDLT plus solicitor, survey, searches, removals and Land Registry.
Do you qualify as a first-time buyer?
The relief looks simple but the rules catch people out. To qualify, every buyer named on the purchase must:
- Have never owned a residential property anywhere in the world, including inherited shares, jointly-owned property, or property held in trust for them
- Intend to live in the property as their only or main residence (buy-to-let purchases don't qualify even on a first home)
- Be buying a property priced at £500,000 or less — above this, the relief is lost completely
Common situations that disqualify you:
- You inherited a 25% share of your parent's house ten years ago
- You jointly own a flat with an ex-partner, even if you never lived there
- You own a holiday flat overseas
- You're buying with a partner who has previously owned property — in this case neither of you can claim the relief
We cover the full set of edge cases on the common pitfalls page.
How much SDLT will you actually pay?
Quick reference for first-time buyers:
| Property price | SDLT (FTB) | Effective rate |
|---|---|---|
| Up to £300,000 | £0 | 0% |
| £350,000 | £2,500 | 0.7% |
| £400,000 | £5,000 | 1.3% |
| £450,000 | £7,500 | 1.7% |
| £500,000 (max for relief) | £10,000 | 2.0% |
| £500,001 (relief lost — standard rates) | £15,000 | 3.0% |
| £600,000 (relief lost — standard rates) | £20,000 | 3.3% |
Note the £5,000+ jump between £500,000 and £500,001 as the relief disappears — see the how SDLT works article for why this cliff edge matters during negotiations.
Schemes that help first-time buyers
Several government and tax-advantaged products are aimed at first-time buyers. The current landscape:
Lifetime ISA (LISA)
The most useful product for most FTBs. Save up to £4,000 per tax year; the government adds a 25% bonus (so £5,000 of buying power per year). You can use the pot towards a first home up to £450,000. Must be 18–39 to open one, and the account must be open at least 12 months before you use the money for a property.
Mortgage Guarantee Scheme
The government underwrites part of high-LTV mortgages (95% loan-to- value) so lenders are more willing to lend with a 5% deposit. Available on homes up to £600,000. Confirm with your broker whether the current iteration of the scheme is open when you apply.
Shared ownership
Buy 10–75% of a property and pay rent on the rest. Can be a way into the market with a much smaller deposit. SDLT rules are specific to shared ownership (you can elect to pay on the full price upfront, or on the share you're buying). The lower-deposit advantage comes with ongoing rent and service charges, so weigh the maths carefully.
First Homes scheme
New-build homes sold at a discount of at least 30% to qualifying first-time buyers, subject to local eligibility rules. Limited availability — check what's on offer in your local authority area.
The journey, step by step
- Estimate what you can afford. Use the affordability calculator with your income and any existing debts.
- Save your deposit. Aim for at least 5–10% of the target price. A Lifetime ISA can add 25% on top of what you save.
- Get a mortgage in principle. Free, takes about an hour with a broker. Gives you a credible budget when offering.
- Search and view. Filter by price, area, condition. Visit at different times of day if you can.
- Make an offer. Once accepted, instruct a solicitor.
- Survey and searches. Your solicitor handles searches; you choose and pay for the survey directly.
- Mortgage application. The lender values the property and underwrites your application. ~2–4 weeks.
- Exchange contracts. Deposit (usually 10%) is paid. You're now legally committed.
- Completion day. You pay the balance, including SDLT, solicitor fees, and Land Registry. Keys handed over.
- After completion. Solicitor files the SDLT return and registers the property in your name at HM Land Registry.
Mistakes to avoid
- Forgetting inherited shares. Even a small share of a property anywhere in the world disqualifies you from FTB relief.
- Buying with a partner who's owned property before. The relief is lost for everyone on the purchase.
- Stretching above £500,000 by a few thousand. A £501,000 purchase pays £5,000+ more in SDLT than a £499,000 one.
- Not budgeting for costs beyond SDLT. Solicitor, survey, searches, removals and Land Registry add £3,000–£5,000 on a typical purchase.
- Treating SDLT as part of the mortgage. You can't borrow it — it must be paid in cash on completion.
Full list on the common pitfalls page.
Useful next steps
Reading: How SDLT works · Complete SDLT guide · FAQ · Common pitfalls
Last reviewed: 8 May 2026.