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LIFT (Low-cost Initiative for First-Time Buyers) is Scotland's primary government-backed shared equity scheme, replacing Help to Buy and First Home Fund. The government takes an equity share of up to 40% — and crucially, no rent is charged on their portion. Maximum household income: £38,000. Property price limits vary by area.
LIFT is Scotland's flagship affordable homeownership scheme. It allows eligible first-time buyers to purchase a property they couldn't otherwise afford by sharing the ownership with the Scottish Government.
How LIFT works. The Scottish Government takes an equity share of between 10% and 40% of the property. You get a mortgage on your share and own that portion outright. There is no rent charged on the government's portion — this is distinct from English shared ownership schemes where you pay rent on the unsold share. You can buy out the government's share at any time.
Eligibility. You must be a first-time buyer (or in limited circumstances, a previous homeowner who cannot currently purchase without support). Maximum household income is £38,000/year. The property must be in Scotland and must meet price limits that vary by local authority area (typically capped around £200,000 for most areas, higher in Edinburgh and other high-price zones). Property must be your main residence.
Price limits (approximate). Edinburgh: £225,000. Aberdeen: £200,000. Most other areas: £175,000–£200,000. These limits are reviewed periodically by the Scottish Government. If the property you want exceeds the limit, LIFT is not available for that purchase.
LBTT interaction. LBTT is calculated on the full purchase price, not just your share — but at these price levels, most LIFT purchases will be below the standard nil-rate threshold (£145,000) or within the first-time buyer nil-rate band (£175,000). Many LIFT buyers pay no LBTT at all.
Buying out the government. You can purchase additional equity in the property at any time (called "staircasing"). The price for additional shares is based on the current market value, not the original price. This means if property values rise, buying out becomes more expensive. Most LIFT owners plan to staircase as their income grows.
Repaying the equity. When you sell the property, the Scottish Government receives their percentage of the sale price — not the original amount. If your home has risen in value, the government's share is worth more than they initially contributed. This is the fundamental difference from a loan: it's a shared investment in the property's value.
No — the Scottish Government's Help to Buy scheme and First Home Fund have both ended. LIFT replaced them as the primary shared equity support for Scottish first-time buyers. LIFT operates on a shared equity basis (the government takes a property stake) rather than an equity loan (a fixed sum to be repaid). The key benefit of LIFT vs Help to Buy is that no interest is charged on the government's share.
Applications go through Registered Social Landlords (RSLs) and homebuilders that are registered LIFT providers. You first get a Decision in Principle from a mortgage lender, then apply through a LIFT-registered provider or housing association. The Scottish Government's website (mygov.scot) lists current participating providers. Your LIFT approval is property-specific — you cannot get a blanket LIFT approval and then search for a property.
You can sell at any time. The property is valued at the market price, and the Scottish Government receives their equity percentage from the sale proceeds. For example, if the government holds 30% equity and you sell for £220,000, they receive £66,000. After paying off your mortgage and the government's share, you keep the remaining equity — which represents the growth in value of your share over your ownership period.