If you want a Help to Buy ISA...

Posted on November 13, 2019

be quick as the final deadline is 30th November!

If you’re saving for a deposit for a house, you have less than three weeks to open a Help to Buy ISA.

There are thousands of pounds of free cash available for first-time buyers towards a new home, yet the easiest, simplest way to get this – a Help to Buy ISA – closes to new applicants on 30th November 2019.

However, If you open one before then, you’ll be able to continue contributing into it until 30 November 2029, so you can keep putting money in and getting the bonus (and if you don’t use it in ten years you can just withdraw the cash).

You’ll be eligible for the government bonus as long as you buy a property before December 2030.

What else do you need to know?

Firstly, people can only qualify for this type of account if they’re first-time buyers and do not own a property anywhere else in the world.

Anyone over the age of 16 can apply for one.

The account allows you to save up to £200 a month, after an initial deposit of up to £1,200 - but you can open one with just £1.

The state will then add a 25 per cent bonus on top of what you save. So, for every £200 you save, the government will contribute £50.

You can earn interest on top - with banks offering up to 3% a year on the cash you stash, on top of the 25% state reward.

Once you've then built up £1,600 savings, you can cash the money in, apply for the bonus, and then use it to buy a home worth up to £250,000 across the UK, or £450,000 in London.

Couples buying their first home together can both sign up for individual accounts, which is particularly attractive as it means the grand total of money you can get from the government is doubled – a charming £6,000.

You can open an account with any bank, building society or credit union that offers a Help to Buy ISA account.

We take you through everything you need to know, contact Mortgage Solutions Belfast on 02890 642000.