The Help to Buy (Scotland) Smaller Developer scheme explained

The Help to Buy Smaller Developer Scheme in Scotland was created to help buyers who cannot fund the full cost of the home. Under the scheme, the Scottish Government will purchase a 15% equity stake in the property and the buyer covers the remaining 85% of the purchase cost, through a combination of mortgage and deposit.

This allows those wishing to buy a house to do so easier and quicker, with an affordable new-build home worth up to £200,000.

How does it work?

Buyers will need a deposit of at least 5% and the property must be a new build from a developer which is registered with this Help to Buy scheme. The scheme is available to any first-time buyers and existing homeowners in Scotland, similar schemes are available in other parts of the UK. Once the equity loan and mortgage have been paid, then the buyer has full ownership of the property.

The buyer can repay all or just part of the Scottish government’s stake, this process is known as ‘tranching up’. Your share of the property can be increased by a minimum of 5% every year.

The amount the buyer pays for the additional stakes is based on the home’s current market value. So, if the home value has gone up, you will pay more. If the market value has gone down, you will pay less. There isn’t a set timeframe when repaying the equity support, although it must be repaid when the property is sold.


How to apply

There are several stages in the application for the Help to Buy Schemes in Scotland.

Firstly, you must find a house developer that is part of the scheme, consult a lender or independent financial adviser and reserve your desired home.

You can then apply for funding through one of the agents that uses the scheme. If you are eligible to use the scheme, you will receive an Authority to Proceed letter.

The applicant must have concluded missives within 3 months of the date of the Authority to Proceed letter. However, you may have to wait longer before moving into your home to allow for the competition of any construction work.

The application for the scheme cannot be submitted more than 9 months before you expect to finish buying the property.


Chapelton-places-for-people The Help to Buy (Scotland) Smaller Developer scheme explained

Places for people 2 bedroom home at Chapelton

Things to remember

When thinking about using the Help to Buy Scheme, it’s important to remember that the equity stake amount changes in line with the value of the home.

This scheme is restricted to new build homes only by certain developers, including Places for People at Chapelton. The applications for the Help to Buy Smaller Developer Scheme closes at the end of financial year 2021 to 2022.


New year, new home?

To view affordable homes by Places for People at Chapelton that are available under the scheme, click here.

The Lifetime ISA: Should you get one?

‘Help to Buy’ is a term on every first-time buyer’s radar, but what does it actually mean and how can it help those looking to get the keys to their first home?

The Help to Buy scheme was started by the Government in 2013 as a solution to help buyers onto the property ladder and as part of this, the ISA was introduced.

The Help to Buy ISA isn’t available for new applicants, but it has been replaced with the Lifetime ISA, often referred to as LISA. What is it and how does it work for first time buyers? Read on to find out.


What is a Lifetime ISA?

The Lifetime ISA, or LISA, can be opened by anyone between the ages of 18 and 39. The ISA allows you to save up to £4,000 per year towards your first home or retirement, and the Government will add a 25% bonus on top of what you save.

This means that you could get an extra £1,000 each year and because it’s an ISA, you earn tax-free interest on whatever you save, including the bonus.


Can I use a Lifetime ISA to buy a new build home? 

Yes, you can use a Lifetime ISA to buy a new build home. To be eligible for the Government bonus, your first home needs to fit the following criteria:

  • be located within the UK
  • be purchased for £450,000 or less
  • be the only property that you own
  • be purchased with a mortgage

There are a range of desirable new build homes available in Chapelton suitable for first time buyers, from two to three bedroom homes, all of which can use a Lifetime ISA towards the property purchase.

Picture1 The Lifetime ISA: Should you get one?

Plot 117 – 2 bedroom detached bungalow from AJC homes at Chapelton is on the market for £240,000

Whatever stage you might be at, we are sure that we have a property that is suitable for you. View our new build homes for sale or get in touch to find out more about our new build homes for first time buyers.


How does it work for first time buyers?

You can save up to £4,000 a year in a Lifetime ISA and you can either put funds in as and when, or you have the option to pay in a lump sum. The bonus will be added to your account each month you save funds into your ISA and will only be paid if you’ve contributed that month. It can take anywhere between one to two months to arrive into your account.

To be eligible to receive the bonus, your first property needs to cost £450,000 or less. If you own or have owned another property before, you cannot use the ISA towards your home purchase.

If you put funds into a Lifetime ISA and then do not qualify to use it for a property, you will have to pay a penalty to withdraw your money, unless you keep it for use when you reach the age of 60. Keep this in mind before opening an account.


What else do you need to know?

If you want to use your Lifetime ISA towards your first home, it must be open for at least one year to be able to use it. Anyone beginning to think about buying their first home should open a Lifetime ISA, even with the minimum of just £1 to get the ball rolling. This means that if in one year you are ready to purchase your first property, you have the option to add £4,000 to the ISA and within two months, you’ll get the bonus and have £5,000 towards your deposit.


I want to buy my first home with my partner. Can we get a joint Lifetime ISA?

You cannot open a joint Lifetime ISA account with a partner, but you can have one account each. If you are buying your first property together and it costs less than the £450,000 limit, then you can both save into your own ISA and each use your bonuses towards your house deposit.


More Information

To open a Lifetime ISA, you need to choose a provider and apply to open an account with them directly.

For more information on the Lifetime ISA, please visit the UK Government website for accurate and up to date information.

Land and Buildings Transaction Tax in Scotland

When purchasing a property, you will usually need to pay additional fees on top of the house price. While often referred to as ‘stamp duty’ in England and Northern Ireland, in Scotland it is known as Land and Buildings Transaction Tax, or LBTT.

LBTT is a lump-sum tax that anyone buying a property costing more than a set amount must pay. It is a similar system to the rest of the UK, but the thresholds it uses are different.

On 1 April, the Land and Buildings Transaction Tax rate in Scotland changed – but what does this mean for your house purchase?


What Changed in April 2021?

The Scottish Government introduced a temporary LBTT ‘holiday’ between July 2020 and March 2021. However, on 1 April the Land and Buildings Transaction Tax rate reverted to its original rate in Scotland.

This means that to have taken advantage of the holiday, you will have needed to complete your house purchase by March 31st. If you completed your purchase after 31 March, you will have missed the deadline and be required to pay the normal rate.


How much will I need to pay?

Land and Buildings Transaction Tax (LBTT) in Scotland is normally payable on a home costing £145,000 or more, and it increases as the house price increases.

You will usually be required to pay tax on part of that property within each band shown in the below table.

chapelton Land and Buildings Transaction Tax in Scotland

Need more information on how much you will need to pay? The Scottish Government has created a calculator to help you work it out.


How much LBTT do I need to pay as a first-time buyer in Scotland?

While the rate band for LBTT has risen to £145,000, you are in luck if you are a first-time buyer. First time buyers will pay no Land and Buildings Transaction Tax on the first £175,000 of a property.

For example, an AJC homes two bedroom detached bungalow in Chapelton costing £240,000 is above the threshold, so LBTT must be paid between £175,000 and £240,000. Therefore, at the rate of 2%, the LBTT due would be £1,300.

chapelton2 Land and Buildings Transaction Tax in Scotland

For a three bedroom Stephen home in Chapelton costing £309,000, LBTT must be paid between £175,000 and £309,000. Therefore, at the rate of 2% and the higher rate of 5%, LBTT due on this property would be £4450.

chapelton3 Land and Buildings Transaction Tax in Scotland

Further information on the first-time buyer relief is available on the Revenue Scotland website.


Ready to start your new home search?

For those looking for new build homes near Aberdeen, Chapelton community offers countryside dwelling within the outskirts of the city of Aberdeen. View our homes for sale now.


Help to Buy with AJC Homes

AJC Homes’ collection of Help to Buy properties have proven particularly popular with first time buyers in Chapelton with just one two-bedroom home now available.

Located at the Liddell development which forms part of the Cairnhill neighbourhood of the town, and priced at £197,250, the Findon house type from the Aboyne-based housebuilder is available to purchase using the Scottish Government’s Help to Buy scheme. This means that the home can be secured with just a five per cent deposit, making it perfect for first-time buyers keen to take their first step onto the property ladder.

Complete with fitted wardrobes, French doors leading onto a landscaped garden and high-quality fixtures, fittings and appliances, the property boasts everything needed in a first home with the added benefit of being part of the growing Chapelton community.

Speaking of the property, Laura Webster, Sales and Marketing Manager at AJC Homes, commented: “Chapelton continues to be an extremely popular place for a variety of buyers to settle. We’ve seen couples, families and downsizers all call the town home and now thanks to our Help to Buy properties we’re also welcoming first-time buyers.

“As a local housebuilder, AJC Homes is known for its traditional and high-quality design – this is key in the build of all our properties. It’s this reason, combined with Chapelton’s many community benefits, that our homes have been so popular in the town.”

To find out more about AJC Homes, visit

A first time buyers guide to getting on the property ladder

Buying your first home can often seem a daunting process, especially when there is so much to consider including location, home options, legal fees and processes.

Here to help Chapelton first time buyers get their foot onto the property ladder, award-winning fee free mortgage advice organisation First Mortgage has answered the most commonly asked questions.

With branches in Aberdeen, First Mortgage provides prospective home owners with a dedicated mortgage advice team who are with customers every step of the way until they’ve secured their dream home. From calculating exactly how much can be borrowed and the total cost of the move, to talking through everything that’s involved in buying a home, First Mortgage can help anyone find and secure their first home.

7G3A9285-683x1024 A first time buyers guide to getting on the property ladder

What are the steps to buying your first home?

Buying your first property may seem complicated but with a few simple steps it’s much easier than many think.

In the first meetings we ensure that all of our customers have an understanding of how much they can borrow, what their mortgage will cost them every month and what deposit is required.

From there we then look at additional costs such as the cost to move from a rented property, how much money must be budgeted for LBTT and associated monthly costs.

We’ll also talk our customers through the range of purchasing assistance schemes available, recommended solicitors and different mortgage products including those for new build homes to ensure that the buyer has the full picture on what is involved in the house buying process.

What assistance schemes are available?

There are many schemes available for first time buyers such as the Scottish Government’s Help to Buy, shared ownership and LIFT. Our local advisors are able to find the right assistance scheme for you, your circumstances and budget.

How does the Help to Buy scheme operate?

The Scottish Government’s Help to Buy Scotland is a scheme available for first time buyers purchasing a new build property from a participating housebuilder.

The purchase price threshold is £200,000 with a minimum 5% deposit from the buyer and a 15% contribution from the Scottish Government. 

What other considerations need to be taken into account other than salary?

The service we provide at First Mortgage is to not only allow first time buyers to purchase their first property as quickly as possible within budget but also to safeguard their lifestyle.

Factors such as average holiday expenditure, food and drink costs including eating out, entertainment, socialising and other commitments all play a part in the overall manageable budget.

To find out about the homes on offer for first time buyers in Chapelton, visit here.

First time buyers guide: Homes for sale in Chapelton

Ten years ago, the average first time buyer could be characterised as someone in their twenties looking for a small flat in town close to local amenities, restaurants and busy bars and clubs to spend evenings and weekends. With the age of first time buyers now rising to those in their early to mid-thirties, the features attracting them to a property has changed slightly too.

Here in Chapelton, we have a number of beautiful homes perfect for every type of first time buyer.

From new build homes available for young professionals to new families, take a look below at the best houses for sale for first time buyers in Chapelton.

First time homes for young professionals

As first time buyers, young professionals often want to find a property with plenty of space that still remains an easy commute to work. Situated just five miles south of Aberdeen, Chapelton is the perfect commuter hotspot, for those who want some distance from busy city life while still remaining just a short drive to work.

The Keithlock, a stunning two bedroom apartment from popular Chapelton housebuilder ZeroC has two generous bedrooms, an open plan kitchen, living space and access to a lovely private garden area. Priced from £176,000, the Keithlock is available under the Scottish Government’s Help to Buy scheme, meaning it can be purchased by first time buyers with just a five percent deposit. 

ZeroC-drawing-1-1024x684 First time buyers guide: Homes for sale in Chapelton

First time homes for country dwellers

For the first time buyers who like the idea of a quaint property with a countryside feel, housebuilder Stephen has a number of homes available, like the cosy Ardwall cottage. Priced from £230,000 this property boasts two spacious bedrooms an open plan kitchen and dining area with separate lounge and looking out onto an attractive courtyard.

Perfect for country dwellers who are looking to take advantage of Chapelton’s idyllic, countryside location, the Ardwall comes with an attractive first time buyers package that includes free flooring, a 5% deposit and £1000 towards legal fees.

Stephens-show-043-1024x633 First time buyers guide: Homes for sale in Chapelton
picture by fraser band 07984 163 256 Stephen Homes – Chapelton Development, Aberdeenshire.

First time homes for families

One of the many considerations when starting a family is ensuring the best environment for enhancing family life. Child friendly neighbourhoods with plenty of activities to keep the little ones occupied, safe roads and areas and an abundance of green space make a family-friendly location to give parents peace of mind.

The Findon offered by housebuilder AJC is a sizable and attractive two-bed home perfect for families starting out. With two well-proportioned bedrooms, a fully integrated kitchen and plenty of living space, the Findon starts from £222,000 and is available with some fantastic incentives including a 5% deposit paid, free flooring and a furniture package from John Lewis.

ChapeltonofElsick_AJCHomes_NHastiePhoto_07.18-5 First time buyers guide: Homes for sale in Chapelton

Many families have already set up their lives in Chapelton, with a wide range of things to do in the community including a calendar of activities catered towards children from family fun days, to organised walks and scavenger hunts. Large, open spaces and parks give children the freedom to enjoy the outdoors and lead the traditional, simple way of life.

With the aim of encouraging a more sustainable lifestyle, Chapelton has been specially designed with all local amenities within walking distance, reducing the number of vehicles on the roads and making public spaces safer for children. An in-town nursery school adds to the place making of the town and the number of facilities for families in the area.

First time buyers have the opportunity to take advantage of a number of incentives at Chapelton, affordably and easily purchasing their dream home. With a number of plots available for the Keithlock, Ardwall and Findon properties, the town has something for all budgets and preferences.

New Build Homes for sale near Aberdeen

Here in Chapelton we have a range of new build houses available from a number of esteemed property developers, renowned for bringing traditional charm with modern features to the homes they build.

Our new build homes, located just outside Aberdeen, are close to Stonehaven and a short drive to the city centre. Take a look below at the selection of beautiful homes and retirement properties available from popular housebuilders ZeroC, Stephen, AJC and Brio Retirement Living.

ZeroC Homes for sale

ZeroC-1-of-18-1024x683 New Build Homes for sale near Aberdeen

Specialist property developer ZeroC is responsible for bringing a range of new build homes to Chapelton that respect traditional architecture while boasting contemporary design.

Currently available from ZeroC, is the popular new build home, Ardler, available in both 2 or 3 bedroom home versions starting at £245,000. The Ardler maximises space and light and is well suited to families looking to start the next chapter of their life in Chapelton.

In addition to the Ardler, housebuilder ZeroC is offering a range of homes that are available under the Scottish Government’s Help to Buy initiative, including the Auchleish a well presented 2 bedroom terraced home starting at £199,950.

As well as the Auchleish, 2 bedroom apartments the Kilbryde and the Keithlock, priced from £189,000 to £199,950 are available under the scheme. Both immaculately finished properties, they are ideal for those keen to make the most of Chapelton’s location which is near the city but still enjoys a countryside setting.

Along with the Ardler and Auchleish, ZeroC has now released a new collection of new build homes to its recently re-designed block 10 on Bunting Place. Starting at £199,950, the mixture of two, three and four bedroom homes are already proving popular with house-hunters, so prospective buyers are encouraged to register their interest quickly before the remaining properties are snapped up.

Stephen Houses for sale

STEPHEN-cottages-1024x614 New Build Homes for sale near Aberdeen

With a reputation for delivering an exceptional standard of new build homes for sale, the Stephen properties available in Chapelton are certain to be a hit with house hunters in the Aberdeenshire area.

The outstanding Melfort property is a four bedroom detached villa with high ceilings and generously sized rooms. Fitted with Karndean flooring, the property is finished to the highest standard with a fully integrated ‘high-gloss’ kitchen. Starting at £349,500, the Melfort is the perfect family home that has all the modern comforts of a new build home.

The second property currently on offer from Stephen is the Dunvegan home. Priced at £322,500, the Dunvegan is well finished and is a great size with three large bedrooms. Similarly to the Melfort, the Dunvegan is fitted with Karndean flooring, benefits from a ‘high-gloss’ fully integrated kitchen and would suit families or professionals seeking the comforts of a new build home. 

AJC Houses for sale

ChapeltonofElsick_AJCHomes_NHastiePhoto_07.18-11 New Build Homes for sale near Aberdeen

Renowned for producing homes that have character and charm, AJC has a selection of properties in the heart of the Chapelton community.

The Stirling, a three bedroom semi-detached home, at Liddell place has been designed with family living in mind, utilizing an open plan layout throughout its kitchen dining space with stunning French doors opening into a spacious garden. Priced from £265,000, the Stirling sits in the heart of Cairnhill, the first Chapelton neighbourhood with stunning views out over Liddell Park.

If extra space is required, the well-proportioned Montrose is immaculately finished and light filled. With four sizable bedrooms the Montrose is situated in Chapelton’s popular Pheppie Park development. Priced from £415,000, this home is available under AJC’s part exchange scheme, which makes the moving process easier by providing a guaranteed buyer for your home.

Brio Retirement Living

Brio_Chapelton_Showhome-1024x683 New Build Homes for sale near Aberdeen

The retirement properties for sale at Brio Retirement Living in Chapelton offer homeowners independent living at the heart of the existing community.

All of the retirement properties are now available to reserve off-plan and two show homes, the Fraser and the Campbell cottages, are also now open for visitors to view.

The Campbell, a one bed cottage and the two bedroomed Fraser cottage, which have been named after two local clans, have been carefully designed to complement the local heritage and their surroundings. Designed to the highest specifications, these homes combine traditional craftsmanship with modern building techniques resulting in a selection of the highest calibre of cottages.

For more information on the show homes or to arrange an appointment, visit or call the sales team on – 01224 676 952.

How could Help to Buy help you

A handy guide to ‘Help to Buy’

This year, the Scottish Government announced a two year extension to its existing ‘Help to Buy’ scheme, helping first time buyers across Scotland take those all-important steps onto the property ladder.

The scheme, which has now been extended up to 2021, was set up to ease the pressure on buyers and has already helped thousands of households across Scotland purchase a new-build home.

But how does it work?

Launched in 2013, the ‘Help to Buy’ scheme allows first time buyers and aspiring home owners the chance to get on to, or move up the property ladder without having to source a sizable deposit for a mortgage.

Through the scheme, buyers can secure a mortgage for a new-build home at 5%, with an equity loan provided by the Scottish Government of up to 15%, leaving owners with a minimum of 85% to pay on their property.

The Government loan is interest-free for its term, meaning that the cost of the deposit and mortgage repayments are considerably lowered and as it’s not a shared ownership scheme, you own 100% of the property.

Since it started five years ago, the ‘Help to Buy’ scheme has helped more than 12,000 households secure their new home.

So what’s the catch?

While it may seem too good be true, there are just a few stipulations between you and your new home. Crucially, ‘Help to Buy’ is capped at properties costing £200,000 and it must be your sole place of residence. The loan cannot apply to part exchange or buy to let.

Help to Buy in Chapelton

At Chapelton some of our most sought after homes are now available through ‘Help to Buy’ which means that the property of your dreams may not be far out of reach.

In addition to two bedroom homes at £199,950, housebuilder ZeroC is offering its Keithlock apartment priced from £189,000. Boasting an en suite master bedroom, large second bedroom, plenty of storage and open kitchen, living and dining space, this apartment is ideal for those keen to make the most of Chapelton’s location, which is near the city but still enjoys a countryside setting.

Award-winning housebuilder Stephen’s Help to Buy properties have already proven extremely popular with first time buyers with just one two-bedroom cottages available to purchase using the scheme. Priced from £199,500 the Inchcape offers a large entrance hallway, two spacious bedrooms, bathroom and open plan kitchen and lounge area finished with French doors leading out onto a garden area.

With so many great local facilities and plenty to see and do, Chapelton is the perfect place to start your future.