Your First Home – What the future buyers say…

The Government announced its new Your First Home scheme ahead of Labour Party Conference this weekend. I have advocated for a long time for some form of help for first-time buyers to get the housing market moving, so I was delighted to hear about the scheme. But then, I work in the industry and some may even accuse me of bias.

So, I found a young couple to talk to and get their views.

I would like to introduce you to Jacob and Cat. Jacob, 31, is finishing a PhD in health economics, while Cat, 29, is a freelance illustrator and firefighter.

HL: Do you think the Your First Home scheme will help?

Cat: It is very exciting and, for the first time, I have a glimmer of hope that I might actually be able to own a home. I work as a freelance illustrator, which is my dream job but a tough market, and as a firefighter to help make ends meet. The salary isn't huge and sometimes I wonder why I risk life and limb for it.

My family aren't in a position to help me financially and, with the cost of living as it is, there has been no realistic prospect of me saving enough for a normal deposit.

Jacob: I'm in a similar position to Cat. I come from a family that doesn't have the money to help me substantially either. I've been very lucky to receive grants that have allowed me to pursue my passion, global health economics. I specialise in the impact of inadequate healthcare provision in the developing world.

As you can imagine, it isn't a field where I'm likely to make the sort of money I would need to buy a home in a university town. This scheme feels like it could give us a way to break free from the expensive rental market.

HL: Have you looked at the criteria for the scheme and do you think you will qualify?

Jacob: We've looked at what has been announced so far and it looks as though we should qualify. We know there are still details to come at the Budget, but based on what we know at the moment, it looks promising.

Cat: For once, it feels as though there might actually be a route onto the housing ladder for someone on my income.

HL: The Government says the scheme is expected to allow people to buy with a deposit of just 2.5%. Is that doable?

Cat: Yes. We've been looking around a lot and actually saw a new-build property we really like for £192,500. If it qualifies for the scheme and we only need a 2.5% deposit, that would be £4,812.50.

That's still a lot of money for us, but suddenly it feels achievable.

Jacob: My mum can stretch to that and has said she can help us because we don't even have the £5,000 at the moment. So much of our money goes on rent, effectively paying someone else's mortgage, and that makes me very angry.

If the final scheme works the way it has been announced, we would definitely want to pursue it.

HL: Then you need to get the mortgage sorted out. Have you investigated that yet?

Jacob: We looked into this before. We knew we could qualify for a mortgage if we had a decent deposit, but what we could borrow didn't really stretch to the sort of property we needed.

With this scheme, it looks as though we could potentially afford a two-bedroom flat, so we'd have somewhere for friends and our parents to stay and maybe…

Cat: Yes, maybe…

Jacob: Maybe the second bedroom will end up being redecorated as a baby's room.

HL: Now, I need to ask you something quite personal, and you don't have to answer. How did you vote at the 2024 general election, how did you vote at the council elections in May, and how do you think you will vote at the next general election?

Jacob: I voted Labour in 2024, Green at the council elections and I am definitely back with Labour for the next general election.

Cat: You've picked a sensitive topic in our household! I voted Conservative in 2024 and then Reform in May, but I'm now convinced that Labour is the best choice. Andy has my vote.

HL: So, has the Government done something that has changed how you think about it politically?

Jacob: Yes. I'm genuinely surprised by how quickly this announcement has changed how we feel about the future.

We were quite worried about what would happen when I finish my studies. I've been struggling to finish my hefty thesis and suddenly this gives me some security and a goal to work towards.

Obviously, we still need to see the final details and work out whether we can actually make it happen, but for the first time it feels possible.

Cat: Yes. You can stop fretting and finish it so you can take up that job offer! We've got a mortgage to sort out.

I want my house, mister!