Govt. sets out first homes scheme details

The Government has released further details on the first homes scheme, which will cut the cost of new homes in England by almost a third.

The scheme is set to give first-time buyers and key workers a 30% discount off the market price of purchasing a new-build home in their local area.

Those eligible for the scheme might be able to save up to £100,000, although price caps of £250,000 apply in England or £420,000 in London.

Local planning authorities will be able to set lower price caps for the first three months if local housing market conditions dictate that.

On top of property price caps, buyers will be subject to household income caps of £80,000 across England and £90,000 in London.

Robert Jenrick, housing secretary, said:

"I know that many who are seeking to buy their own home in their local areas have been forced out due to rising prices.

"A proportion of new homes will be made available at a 30% market discount rate - turning the dial on the dream of home ownership.

"The discount will be passed on with the sale of the property to future first-time buyers, helping thousands more people in years to come."

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