Live

Discount Market Sale (DMS)

A 20–50% discount on a new-build, set and administered by the local council under s.106 planning.

Who it's for
Local buyers of new-build homes
Status (April 2026)
Live, accepting new applicants.

How it works

Council-by-council scheme attached to new developments via section 106 planning obligations. Typical discount is 20–30%. Eligibility is local: usually 2+ years' residence or employment in the area, household income under ~£80k, and unable to buy at full market price locally. Each council sets its own rules — check the local authority's affordable housing / s.106 pages.

The gotcha: Like First Homes, the discount is permanent — future resales go to another qualifying buyer at the same discount. Availability is patchy: strong in parts of the South West, West Midlands and East of England, thin or absent elsewhere.

Frequently asked

How is DMS different from First Homes?

Both are discounted new-builds with the discount preserved in perpetuity. First Homes is a national government scheme with consistent rules (30-50% discount, price caps, income caps). DMS is council-level — every local authority sets its own eligibility, discount %, and caps. You'll need to check your specific council's policy.

Where this sits in your planning

Schemes are one input to a buying decision, not the decision itself. Model the same purchase with and without the scheme on the affordability calculator — the total cash required and the monthly payment are usually the deciders, not the headline scheme benefit.

Last reviewed: 18 April 2026. Scheme details change — check the official page before acting on anything here.