Buying a property

Whether you are a first-time buyer or looking to move, this page has information on buying a home in Orkney, including low cost ownership schemes, support if you are struggling with mortgage payments, and how to find empty properties that may be available to buy.

For general advice on the house-buying process, contact a solicitor or independent financial adviser. You can also contact us.

The buying process

Buying a home can be a daunting prospect, especially if it is your first time. Here are some key points to consider.

Get mortgage pre-approval

Before you start looking at properties, approach banks or a financial adviser to get pre-approval for a mortgage. This will give you a clear idea of how much you can borrow and the size of deposit you will need. They will also advise on other costs involved in buying, such as survey fees and stamp duty.

Appoint a solicitor

You will need a solicitor to handle the legal work involved in buying a property. Some banks offer the use of their panel of solicitors, which may be cheaper, but they are often based on mainland Scotland, so there will be no face-to-face contact if problems arise.

Property searches

Properties for sale in Orkney are advertised by local estate agents and at orkney.com.

Low cost home ownership

If you are on a low income and want to buy your own home but cannot afford the full price, there are schemes available to help.

Shared Ownership and New Supply Shared Equity

These schemes are offered by Orkney Housing Association Ltd (OHAL) and are funded by the Scottish Government. They are aimed at people on low incomes who wish to own their own home. For more information, visit the OHAL website.

LIFT Open Market Shared Equity

The LIFT (Low-cost Initiative for First-Time Buyers) Open Market Shared Equity scheme provides eligible applicants with funding of between 10% and 40% towards the purchase price of a property on the open market. The scheme is administered in Orkney by Link Housing Association.

Help to Buy

The Scottish Government's Help to Buy (Scotland) Affordable New Build scheme helps first-time buyers and current homeowners purchase a new build home without a large deposit. Applicants are expected to pay at least 85% of the purchase price, with the Scottish Government holding the remaining percentage under a shared equity agreement. The purchase price cannot exceed the threshold set by the Scottish Government. In Orkney, successful applicants can increase their share up to 100% in the future.

Help if you are struggling with mortgage payments

If you own your home and are at risk of having it repossessed, the Scottish Government operates two schemes under the Home Owners' Support Fund.

Mortgage to Rent

Under this scheme, your home is bought by either the council or Orkney Housing Association Ltd, and you continue to live there as a tenant. To be eligible, you must have failed to reach agreement with your lender on how to manage the arrears, sought financial advice, and been unable to make full mortgage payments for at least three months. You must not normally own another home, must have lived in the property for the last 12 months, and must not hold capital above the scheme's limits. The value of the home must also be within the maximum levels set by the Scottish Government.

Orkney Citizens Advice Bureau plays a key role in applications and acts as agent for the scheme. We will contact them on your behalf if you meet the conditions.

Mortgage to Shared Equity

Under this scheme, the Scottish Government takes a financial stake in your home, reducing the amount you need to pay your lender each month. You continue to own and live in the property and remain responsible for maintaining and insuring it. To be eligible, you must meet the criteria for the Mortgage to Rent scheme and also hold at least 25% equity in your home, have a capital and interest repayment mortgage, and own a property that meets the Tolerable Standard.

Section 11 notifications

All landlords and creditors are required to notify us if they intend to take action that may result in a tenant or owner-occupier becoming homeless. On receiving this notification, we will contact the person involved, offer a housing options interview, and seek to prevent homelessness where possible. We will also refer to Orkney Citizens Advice Bureau's money and housing advice services where appropriate.

Contact us