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Government Schemes Scotland

New Supply Shared Equity Scotland (NSSE): buy a new-build home with shared equity

New Supply Shared Equity helps eligible households buy new-build homes from a housing association or local council, usually with the buyer funding 60% to 80% and the Scottish Government holding the rest.

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Regulated by the Financial Conduct Authority · No. 792412

TL;DR

NSSE Scotland: direct answer

New Supply Shared Equity is available across Scotland, but actual homes are released through housing association or local council projects.

The buyer usually pays for 60% to 80% of the home's cost, and the Scottish Government holds the remaining share under a shared equity agreement.

The scheme is for new-build homes from participating providers, not any property on the open market.

There is no rent on the Scottish Government share, but you still pay your mortgage, any factor's fees, insurance, repairs, council tax and normal household bills.

Current availability

Active but project-led

NSSE is open across Scotland, but homes are only offered through specific housing association and council developments. Check the current NSSE project list before planning around a particular town or area.

How NSSE works

Through NSSE, eligible buyers can buy a new-build home from a housing association or local council without funding the full cost. The buyer usually pays for 60% to 80% of the home, and the Scottish Government holds the remaining share under a shared equity agreement. NSSE is part of the Scottish Government's LIFT (Low-cost Initiative for First Time Buyers) programme.

You have full title to the home, but the Scottish Government's share is protected by a standard security (in Scotland, a mortgage or charge registered against the property). When you sell, the Scottish Government receives its percentage of the selling price, for example 30% if you own 70%, and you repay your lender from your own share.

Who may qualify

The official overview says NSSE is open to first-time buyers and priority access groups including people aged 60 and over, social renters, disabled people, armed forces members, recent veterans and certain bereaved partners of service personnel.

It may also be available to people who previously owned a home but had a significant change in circumstances, such as marital breakdown. The provider or local council assesses whether the household can buy without support.

Property type and restrictions

NSSE is not an open-market scheme. It applies to new-build homes from participating housing associations or local councils, and availability depends on the current project list.

Provider rules matter

Rules can vary by provider, development, local council and lender. Always check the current criteria before reserving a property or applying.

Deposit, mortgage and costs

You usually pay for your share with a deposit plus a mortgage. The NSSE guidance does not set one fixed deposit percentage – the deposit you need depends on the lender, the mortgage product and your circumstances, so check it with a mortgage adviser before you apply to the provider.

The NSSE leaflet says you do not pay rent on the Scottish Government's share. You are still responsible for your mortgage payments, any property factor's fees (a factor manages and maintains shared areas in many Scottish developments), buildings insurance, repairs and maintenance, council tax and normal household bills.

After buying, you can usually buy a bigger share, in steps of at least 5%, up to 100%. In some cases, usually where there are fewer affordable homes, the Scottish Government keeps a permanent 20% 'golden share', so you cannot buy the final 20%. Your solicitor can confirm whether your agreement includes this.

How to apply

The NSSE application route is separate from the mortgage application. The official guidance tells buyers to check the NSSE leaflet and current projects, then contact the relevant registered social landlord or local council directly.

  1. Check the current NSSE project list for your area.
  2. Contact the provider or council for the specific property.
  3. Speak to a mortgage adviser early so you know how much you could borrow for your share – the provider will ask about your mortgage capacity.
  4. Provide income, mortgage capacity, contribution, household and housing details.
  5. Complete the provider application and wait for their eligibility decision.
  6. Submit the mortgage application for your share.
  7. Use a solicitor to complete the purchase and shared equity documents.

Alternatives

If there is no NSSE property in your target area, compare:

How Extend Finance can help

Extend Finance can help with the mortgage side: affordability, lender choice, documents and understanding how the scheme affects the application. We do not decide scheme eligibility, allocate properties or approve the scheme application.

We can test affordability for different buyer shares (you can start with our borrowing calculator), compare lenders that may accept Scottish shared equity and prepare the mortgage evidence needed alongside the provider process.

Official sources

Sources checked on 2026-10-17: mygov.scot NSSE overview, NSSE how it works, NSSE how to apply, current NSSE projects and gov.scot NSSE leaflet. For buying a bigger share, the golden share and selling, see NSSE after buying on mygov.scot.

FAQ

Frequently asked questions

Is NSSE open now?

Yes, NSSE is a current Scottish scheme, but it is project-led. mygov.scot warns that not all areas have properties available.

Who can qualify for NSSE?

The official overview lists first-time buyers and priority groups, including social renters, disabled people, people aged 60 and over, armed forces members, recent veterans and certain bereaved partners.

What share do I buy?

You usually fund 60% to 80% of the home’s price, with the Scottish Government holding the remaining financial stake. This is shared equity: you have title to the whole home and remain responsible for its running and repair costs. The government stake is dealt with under the agreement when you sell or buy it out.

Can I buy a bigger share later?

Usually yes – in steps of at least 5%, up to 100%. In some areas the Scottish Government keeps a permanent 20% golden share, so the final 20% cannot be bought. When you sell, the Scottish Government receives its percentage of the sale price.

Do I pay rent on the government share?

You do not pay rent on the Scottish Government’s stake under NSSE. You still pay your mortgage and normal ownership costs, including insurance, repairs, council tax and any factoring charges for shared services. Shared equity reduces the initial amount to fund, not all of these ongoing costs.

Do I need a mortgage and deposit?

Usually yes. Most buyers pay for their share with a deposit plus a mortgage. The scheme does not set one fixed deposit percentage – the amount depends on the lender and your circumstances.

Can a broker submit the NSSE application?

The scheme application goes through the relevant housing provider or council, which assesses eligibility and allocates properties. Extend Finance can help with mortgage affordability, lender choice and mortgage documents. We do not approve admission to NSSE.

Your Home (or property) may be repossessed if you do not keep up repayments on your mortgage or any other debts secured on it.

S
Sylwia Zgórska
17/03/2026
Google · Translated from Polish
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