Worried you’re not making use of government schemes to help towards your home purchase? Here are some of the key facts around utilising the Help To Buy (HTB) ISA scheme so long as the purchase will be the only home you own and where you intend to live.
You can no longer open a new HTB ISA
Unfortunately the scheme is now closed to new entrants, if you haven’t already opened a HTB ISA but would like to look into other government schemes available it may be worth looking into a Lifetime ISA (LISA).
Monthly contributions
Existing savers can pay in up to £200 each month (£2,400 per year) but unfortunately this can’t be paid in as an annual lump sum and must be contributed monthly. You can use the ISA once you’ve saved up over £1,600 or a minimum of 3 months. If you decide not to purchase a property the money can be withdrawn at any time but you wouldn’t benefit from the bonus.
Government top up of 25%
The government will top up your savings by 25% (up to £3,000) when you buy your first home.This will be applied for by your conveyancer as part of you property purchase transaction. Check out the the UK government website for more information!
Couples have an allowance each
A couple buying a property together can each have a HTB ISA and both benefit from the maximum top up of £3,000 each (£6,000 combined top up).
Maximum purchase price
The maximum property purchase price is £250,000 (£450,000 in London). The purchased property must be the only property you own and you must intend to live there.
*All information up to date at time of writing, speak to your advisor for specific advice for your own circumstances.
