Being a ‘first-time buyer’ has significant benefits.

As a first-time buyer, your offer is not conditional upon the sale of a chain of other properties in order for you to proceed. In other words, by definition, you don’t have a property to sell. You’re also flexible in terms of your move, for the same reason. And there are financial benefits too, including qualification for participation in special First-time buyer ISA schemes, Help to Buy schemes and, perhaps most significantly, exemption for the requirement to pay stamp duty land tax (SDLT) in certain instances.

So, what is a first-time buyer?

The definition of a first-time buyer has been set out by the government in a guidance note published in 2018. It states the following;

“In order to count as a first time buyer, a purchaser must not;

  • either alone or with others, have previously acquired a major interest in a dwelling or an equivalent interest in land situated anywhere in the world.
  • This includes previous acquisitions by inheritance or gift, or by a financial institution on behalf of a person under an alternative finance scheme.
  • [SDLT] Relief is not denied by virtue of a previous acquisition as a trustee unless the purchaser was also a beneficiary of the trust.
  • [SDLT] Relief is also not denied if the purchaser owns or has previously owned non-residential or mixed-use property, as long as that property did not include a dwelling. This restriction does not apply where the interest acquired was the grant or assignment of a lease with less than 21 years to run.

If the property is purchased jointly, all the purchasers must meet these conditions”.
Some lenders however, do offer their First Time Buyer schemes to purchasing couples when only one of the applicants meets the first time buyer criteria.

Download our Free First Time Buyers Guide

Recent posts

Skipton Building Society launches ‘Delayed Start’ mortgage meaning first time buyers won’t be required to make repayments for the first three months. 

According to a survey by Skipton, first time buyers who bought their home in the last five years found that in the first three months of living there, they were spending upwards of £30,000.

If you have recently moved into a property with a garden that requires a little TLC, or you’d like to get on top of your current green space, check out our tips.

High street lender, NatWest, have launched a new product to help first-time buyers purchase a property with assistance from a family member or friend to get them on the property ladder sooner.

‘Buy Now, Pay Later’ (BNPL) schemes, such as ‘Klarna’ are short-term loans that allow shoppers to make a purchase, but delay paying for it for an agreed amount of time.

Klarna is one of the most popular BNPL services with 18 million customers in the UK alone, and offers interest-free payment options which is appealing to shoppers. However, does it affect a mortgage application?

We look at how to get the best Buy to Let mortgage rate, what's in store going forward, and options as a landlord with increasing costs.

Throughout this past week, lenders have continued to reduce their mortgage rates giving borrowers in the UK some welcome news following the change in global tariffs under US President, Donald Trump.

Did you know that buying a house, or relocating is in the top 10 most stressful life events?

Stress of course is an unavoidable part of life and there are many reasons why people experience stress, not just buying a house!

There are lots of effective ways to manage and reduce stress, check out our tips to help you.

With the stamp duty relief ending in England and Northern Ireland, we have listed the top 10 cheapest areas for first-time buyers as published by Rightmove.