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Rural housing fund

The rural housing fund provides grants and loans to increase the availability of private housing.

Projects can include building new houses, renovating empty houses or converting commercial or non- domestic premises into residential accommodation.


  • to increase the supply of new build houses for affordable sale or rent
  • to increase the number of rural empty properties brought back into use for affordable sale or rent
  • to facilitate conversion of commercial properties for residential use

Total Fund of £25m is split into two main elements - a feasibility fund (up to £10K) and a main fund.  Applications can be for either or both elements. The fund-grant and loan- will be split over 3 financial years.

Who can apply?

  • Legally constituted bodies i.e. not individuals
  • Public sector bodies cannot apply for the loan element only the grant
  • Local Authorities and Registered Social Landlords can apply but must demonstrate that their project would deliver additional housing to that delivered through the Affordable Housing Supply Programme.

Location of Projects

  • Remote small towns  - settlements of 3,000-9,999 within a 30 min drive of a settlement of 10,000 or more
  • Accessible rural - less than 3,000 people and within 30 mins of a settlement of 10,000 or more
  • Remote rural - less than 3,000 people and over 30mins from a settlement of 10,000 or more


  • Applications must be for new projects  and not where work has already started.
  • Existing houses must have been empty for at least 6 months and must fail at least one aspect of the Repairing Standards
  • Applicants can include the cost of purchase of the property as part of the proposal.  Local Authorities and Registered Social Landlords cannot apply for funds to renovate their existing stock but can apply for funds to convert commercial buildings they already own
  • For grant funding the houses must be kept in the affordable sector in perpetuity and for loan funding for at least 10 years or for as long as the loan is being repaid. In the event that terms and conditions in the offer of grant or loan can no longer be met then this would result in full repayment of the grant or loan to the Scottish Government.

See the Scottish Government website for further information such as the pre-application questionnaire, expression of interest form and application form.     


Isobel Butt, Vacant Property Development Officer, Perth & Kinross Council, 01738 475955,

Katrina Morrison, Vacant Property Support Assistant, Perth & Kinross Council, 01738 476561,

Last modified on 06 July 2021

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