Defence and armed forces – guidance

Forces Help to Buy: help to get on the property ladder

A scheme to help armed forces personnel get on the property ladder.

What is the scheme?

Regular armed forces personnel can benefit from a £200 million scheme to help them get on the property ladder. The Forces Help to Buy scheme enables servicemen and servicewomen to borrow up to 50% of their salary, interest free, to buy their first home or move to another property on assignment or as their families needs change.

The pilot scheme, which will run for 3 years, aims to address the low rate of home ownership in the armed forces. However, this isn’t about forcing people out of service accommodation. That option will still be there for armed forces personnel who want to continue to use it.

Who can have use the scheme?

All regular personnel who:

  • have completed the pre-requisite length of service
  • have more than 6 months left to serve at the time they apply
  • meet the right medical categories

However, it is recognised that there may be instances where exceptions to the standard rules may be justifiable, especially where there are extenuating medical and personal circumstances.

How much can be borrowed under the scheme?

This scheme allows service personnel to borrow up to 50% of their annual salary, to a maximum of £25,000. This can be used towards a deposit and other costs such as solicitor’s and estate agent’s fees.

How to get it?

Servicemen and servicewomen can apply for the loan online through the Joint Personnel Administration system and can seek advice on their application through their Chain of Command and personnel agency.

If you are considering buying a home, but have not done so before, you may wish to read some general information on how to buy one and understand better how the process works.

Find out about buying a home

Below are links to useful information:

Other government schemes

Specific for those in the armed forces

Tax implications