Help to Buy ISA
Did you know that if you are a first time buyer saving for a...Back to News and Events
Did you know that if you are a first time buyer saving for a house deposit, you can claim 25% of your savings for free from the government. But be quick – you can only open a Help to Buy ISA until 30th November 2019.
For every £200.00 you save, the government will give you a bonus of £50.00. You cannot save more than £200.00 each month in your Help to Buy ISA. However, when you open one, you can deposit £1,200.00 in your first month.
The minimum amounts of savings to claim the bonus is £1,600.00 and if you save this amount, you can claim £400.00 for free to use towards your property purchase. The most you can claim from the government is £3,000.
To qualify for a Help to Buy ISA you must:-
If you’re a first time buyer but you’re buying with someone who isn’t, you can still open a Help to Buy ISA but they won’t be able to. If you’re both first time buyers, you can each open a Help to Buy ISA and if you each pay in £200.00 per month into your ISA’s, you will both be able to claim the government bonus.
To qualify for the government bonus, the property you are buying must:-
The government bonus will be added to the money you’re putting towards your first home which you will pay to your solicitors normally a few days before completion. It cannot be used for the deposit that you have to pay on exchange of contracts to the seller.
Your solicitor will claim the government bonus for you but you will need to close your Help to Buy ISA and give the closing statement to your solicitor. You will also need to complete and sign a First Time Buyer declaration. You will need to claim the bonus within 12 months of closing the ISA.
For more information on the Help to Buy ISA or buying and selling of property, please visit the following websites:-
If you are buying your first home and need a conveyancing solicitor, why not give us a call on 0800 389 7093. Alternatively you can visit our conveyancing services page here or complete the form linked here and we will call you back.