How to Buy Your First Home in Medway: A Complete 2026 Guide

QUICK OVERVIEW

Buying your first home in Medway typically requires a 5 to 10 percent deposit, which works out to around £13,650 to £27,300 based on the current average first time buyer price of £273,000. First time buyers pay zero stamp duty on properties up to £300,000 in 2026, and government schemes like Lifetime ISA and First Homes can help reduce your upfront costs even further.

Want personalised advice? Explore our first time buyer services or get in touch with our Medway based mortgage team for a free consultation.

If you are a first time buyer in Medway, you are in a good position. Medway offers some of the most affordable property prices in the South East, with the average first time buyer paying around £273,000 compared to the regional average of £478,000. That is a significant saving that could make homeownership achievable sooner than you think.

This guide covers everything you need to know about buying your first home in Medway in 2026. We will walk you through the costs, the government schemes available to help you, and the step by step process from saving your deposit to collecting your keys.

Here is the thing: buying a home does not have to be overwhelming. With the right information and support, you can navigate the process with confidence. Let us break it down.

Table of Contents

1. What Does It Cost to Buy a First Home in Medway?

2. Do First Time Buyers Pay Stamp Duty in 2026?

3. What Government Schemes Can Help You Buy?

4. How to Buy Your First Home: Step by Step

5. Where Are the Best Areas for First Time Buyers in Medway?

6. Top 10 Benefits of Buying in Medway

7. What Are the Common Mistakes to Avoid?

8. Emerging Trends for First Time Buyers in 2026

9. FAQs

10. Ready to Take the Next Step?

What Does It Cost to Buy a First Home in Medway?

Let us start with the numbers. Understanding the true cost of buying helps you plan properly and avoid surprises.

What is the average house price for first time buyers in Medway?

According to the Office for National Statistics, the average price paid by first time buyers in Medway was £273,000 in September 2025. This is 5 percent higher than the previous year, but still well below the South East average of £478,000.

Here is how Medway compares:

• Medway average first time buyer price: £273,000

• South East average: £478,000

• Great Britain average: £334,000

This makes Medway one of the more affordable options for first time buyers who want to stay within commuting distance of London.

How much deposit do you need?

Most lenders require a minimum deposit of 5 to 10 percent. Here is what that looks like for a typical Medway property:

Deposit Percentage	Amount Needed	Mortgage Required
5 percent	£13,650	£259,350
10 percent	£27,300	£245,700
15 percent	£40,950	£232,050

A larger deposit usually means better mortgage rates and lower monthly payments. But do not let a smaller deposit stop you. The Mortgage Guarantee Scheme helps lenders offer 95 percent mortgages with just a 5 percent deposit.

What other costs should you budget for?

Your deposit is just the start. Here are the other costs to factor in:

• Conveyancing and legal fees: £1,000 to £1,800

• Survey costs: £300 to £1,500 depending on the type

• Mortgage arrangement fees: £0 to £1,500

• Stamp duty: £0 for most Medway first time buyers

• Moving costs: £450 to £1,400

• Buildings insurance: required from exchange

If you are unsure what you can afford, speaking to a mortgage adviser can help you understand your budget and options.

Do First Time Buyers Pay Stamp Duty in 2026?

Good news. Most first time buyers in Medway will pay zero stamp duty.

What are the 2026 stamp duty thresholds?

Since April 2025, the stamp duty thresholds for first time buyers are:

• 0 percent on the first £300,000

• 5 percent on the portion between £300,001 and £500,000

• Standard rates apply if the property costs more than £500,000

With Medway's average first time buyer price at £273,000, most buyers will fall within the tax free threshold.

How much would you pay on a typical Medway property?

Property Price	Stamp Duty (First Time Buyer)
£250,000	£0
£300,000	£0
£350,000	£2,500
£400,000	£5,000

You can calculate your exact stamp duty using the GOV.UK stamp duty calculator at gov.uk/stamp-duty-land-tax.

What Government Schemes Can Help First Time Buyers in Medway?

Several schemes exist to help you get on the property ladder. Here is what is available in 2026.

How does the First Homes scheme work in Medway?

First Homes is a government scheme offering new build properties at a discount of 30 to 50 percent off the market price. In Medway, properties must cost no more than £250,000 after the discount on first sale.

To qualify, you must:

• Be a first time buyer

• Have a household income under £80,000

• Be able to get a mortgage for at least 50 percent of the purchase price

• Plan to live in the property as your main home

The discount stays with the property forever. When you sell, the next buyer also gets the same percentage discount. You can find out more about eligibility on the Medway Council website at medway.gov.uk/firsthomes.

Should you open a Lifetime ISA for your deposit?

A Lifetime ISA is one of the best ways to boost your deposit savings. Here is how it works:

• Save up to £4,000 per year

• The government adds a 25 percent bonus, up to £1,000 annually

• Use it to buy a property worth up to £450,000

• Your account must be open for 12 months before you can use it

If you save the maximum for four years, you could have £20,000, including £4,000 in government bonuses.

Important: the government announced in the 2025 Autumn Budget that a consultation will launch in early 2026 to replace the Lifetime ISA with a simpler product. If you already have a LISA, keep contributing. Your savings and bonus are safe.

Is Shared Ownership right for you?

Shared Ownership lets you buy a share of a property, usually between 25 and 75 percent, and pay rent on the rest. This means:

• Smaller deposit needed, typically 5 to 10 percent of your share

• Lower mortgage, as you are only borrowing for your share

• Option to buy more shares later, called staircasing

You might be eligible if your household income is £80,000 or less and you cannot afford to buy a suitable home outright.

What is the Mortgage Guarantee Scheme?

The Mortgage Guarantee Scheme helps lenders offer 95 percent mortgages. The government guarantees part of the loan, which encourages lenders to offer deals to buyers with just a 5 percent deposit.

This scheme was made permanent in July 2025. A whole of market mortgage broker can help you find lenders participating in the scheme.

How to Buy Your First Home: Step by Step

Buying a home involves several stages. Here is a clear breakdown of the process.

Step 1: Check your finances and credit score

Before anything else, get a clear picture of your finances. Check your credit score with all three bureaus: Experian, Equifax, and TransUnion. Errors on your report can affect your mortgage application, so dispute any mistakes early.

Work out how much you can realistically afford. Consider your income, existing debts, and monthly outgoings. A general rule is that lenders will offer around 4 to 4.5 times your annual income.

Step 2: Get a Mortgage in Principle

A Mortgage in Principle, sometimes called an Agreement in Principle, shows sellers you are a serious buyer. It is a conditional offer from a lender stating how much they would likely lend you. Getting one from a mortgage adviser in Medway takes around 24 hours and is usually free.

Step 3: Find the right property

Start your property search on sites like Rightmove and Zoopla. Set up alerts for Medway areas within your budget. When viewing properties, check:

• Condition of the roof, windows, and walls

• Signs of damp or structural issues

• Local amenities and transport links

• Whether it meets your needs now and in the near future

Step 4: Make an offer

When you find a property you like, make an offer through the estate agent. Your Mortgage in Principle strengthens your position. If your offer is accepted, you are now sale agreed, though not yet legally committed.

Step 5: Complete the conveyancing process

Conveyancing is the legal work involved in transferring ownership. Your solicitor or conveyancer will:

• Carry out property searches

• Review the contract

• Raise enquiries with the seller's solicitor

• Arrange for you to sign the mortgage deed

This stage typically takes 8 to 12 weeks. Having your paperwork ready can help speed things up.

Step 6: Exchange and complete

At exchange, you pay your deposit and sign the contract. You are now legally committed to buy. Completion usually happens 1 to 4 weeks later. On completion day, your solicitor transfers the money, and you collect your keys.

Congratulations. You are a homeowner.

Where Are the Best Areas for First Time Buyers in Medway?

Medway is made up of several towns, each with its own character and price point.

Rochester, Chatham, or Gillingham: which is most affordable?

Here is a quick comparison based on recent market data:

• Chatham: Often the most affordable, with strong rental yields and regeneration investment

• Gillingham: Popular for HMO investors, mid range prices, good transport links

• Rochester: Historic charm, slightly higher prices, strong demand

Chatham town centre has seen significant development investment, making it a smart choice for first time buyers looking for value and growth potential.

What about Strood, Rainham, and other areas?

Strood offers good value with easy access to Rochester. Rainham is quieter and more suburban, popular with families. Both offer more space for your money compared to the main towns.

When choosing an area, think about:

• Your commute to work

• Local schools if relevant

• Amenities like shops and healthcare

• Future development plans that could affect prices

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Top 10 Benefits of Buying Your First Home in Medway

1. Affordability: Medway prices are significantly below the South East average, making homeownership more achievable.

2. Transport links: High Speed 1 trains reach London St Pancras in under 40 minutes from Rochester.

3. Regeneration: Ongoing investment in Chatham and the wider area is improving infrastructure and amenities.

4. Government scheme availability: First Homes, Shared Ownership, and new build developments are available locally.

5. No stamp duty: Most first time buyers in Medway pay zero stamp duty on their purchase.

6. Equity building: Every mortgage payment builds your ownership stake, unlike renting.

7. Stability: Owning your home gives you security and freedom to make it your own.

8. Rental alternative: Monthly mortgage payments are often comparable to or less than rent.

9. Strong community: Medway offers a mix of historic character and modern development.

10. Future growth: Property values in Medway have risen 4.9 percent in the past year, building your equity.

What Are the Common Mistakes First Time Buyers Make?

Avoiding these pitfalls can save you time, money, and stress.

Not getting a Mortgage in Principle first

Without a Mortgage in Principle, sellers may not take your offer seriously. Get one before you start viewing properties.

Forgetting hidden costs

Your deposit is not the only expense. Budget for conveyancing, surveys, moving costs, and furniture. A rule of thumb is to set aside an extra £3,000 to £5,000 beyond your deposit.

Skipping the survey

A mortgage valuation is not the same as a survey. The valuation is for the lender. A Homebuyer's Report or Building Survey is for you, highlighting potential problems like damp, subsidence, or roof issues. Always get a survey. It could save you thousands.

Not comparing mortgage deals

Going straight to your bank might not get you the best deal. A whole of market mortgage broker compares deals from across the market to find the right mortgage for your situation.

Rushing the process

It is easy to feel pressure to move quickly, especially in a competitive market. But rushing can lead to costly mistakes. Take time to review contracts, understand what you are signing, and ask questions.

Emerging Trends for First Time Buyers in 2026

The property market is always changing. Here are the key trends shaping the landscape for first time buyers this year.

Mortgage rates are stabilising

After the volatility of recent years, mortgage rates have settled. The cheapest fixed rate deals are now around 3.5 to 4.5 percent. Experts predict rates may ease slightly through 2026 as inflation continues to fall.

More inventory means more choice

The Medway market is balanced, with around 1,900 properties available in late 2025. This gives buyers more negotiating power and time to find the right property without the frantic bidding wars of previous years.

Digital conveyancing is coming

The government announced in the 2025 Autumn Budget plans to improve the home buying process through increased use of digital technology. This could make conveyancing faster and cheaper in the coming years.

New savings product for first time buyers

A consultation in early 2026 will explore replacing the Lifetime ISA with a simpler savings product specifically for first time buyers. Watch this space for updates.

Continued focus on affordability

With first time buyer numbers recovering after hitting record lows, affordability remains a government priority. The permanent Mortgage Guarantee Scheme and continued support for Shared Ownership reflect this focus.

Frequently Asked Questions

How much deposit do I need to buy a house in Medway?

Most lenders require 5 to 10 percent deposit. On Medway's average first time buyer price of £273,000, that is £13,650 to £27,300. With a 5 percent deposit and the Mortgage Guarantee Scheme, you can get on the ladder sooner, though larger deposits typically secure better interest rates.

Do first time buyers pay stamp duty in 2026?

First time buyers pay no stamp duty on properties up to £300,000. For homes between £300,001 and £500,000, you pay 5 percent only on the amount above £300,000. Properties over £500,000 are charged standard rates. Most Medway first homes fall within the tax free threshold.

How long does it take to buy a first home?

From accepted offer to completion typically takes 8 to 12 weeks. This includes mortgage application, which takes 2 to 4 weeks, surveys and searches, which take 2 to 3 weeks, and conveyancing, which takes 4 to 8 weeks. Chain free purchases and new builds may complete faster. Having a Mortgage in Principle speeds up the process.

Is it better to use a mortgage broker or go direct to a bank?

A mortgage broker compares deals across the whole market, often finding better rates than going direct. They handle paperwork, liaise with lenders, and can access exclusive products. For first time buyers navigating schemes like the Mortgage Guarantee, expert guidance is particularly valuable.

Can I use a Lifetime ISA to buy in Medway?

Yes, if the property costs £450,000 or less. You receive a 25 percent government bonus on savings up to £4,000 per year. Your account must be open for 12 months before using it. You can combine a LISA with Shared Ownership but only use one bonus scheme per purchase.

What is the difference between a mortgage valuation and a survey?

A mortgage valuation is for the lender to confirm the property's worth. It is basic and does not check condition. A survey, either a Homebuyer's Report or Building Survey, is for you. It identifies potential problems like damp, subsidence, or roof issues. Always get a survey as it could save thousands.

Are house prices in Medway going up or down?

Medway prices rose 4.9 percent year on year to September 2025 according to ONS data. The market is currently balanced, with more stock giving buyers negotiating power. Medway remains significantly more affordable than the wider South East, making it attractive for first time buyers.

Ready to Take the Next Step?

Buying your first home in Medway is more achievable than you might think. With prices well below the South East average, zero stamp duty for most buyers, and multiple government schemes to help, 2026 could be your year to get on the property ladder.

The key is preparation. Understand your budget, get your Mortgage in Principle sorted early, and do not rush the process. With the right support, the journey from renting to owning can be smoother than you expect.

At Yomo Finance, we have helped hundreds of first time buyers in Medway find the right mortgage. Our team is based in Rochester and offers whole of market advice, which means we search deals from across all lenders to find the best option for you. We also offer Saturday appointments to fit around your schedule. Get in touch for a free, no obligation consultation.

Call us on 01634 949555 or visit our Rochester office to chat about your options. There is no pressure, just honest advice tailored to your situation.