With the Help to Buy ISA deadline approaching on 30th November this year, there’s never been a better time to start the exciting journey to owning your own home. No one wants to miss out on their dream home and saving for that all important deposit can seem overwhelming at times. But what if we were to tell you that there are ways you can make saving more manageable, get more from your nest egg and even buy sooner?
The Government-backed Help to Buy scheme has helped so many people buy a new home due to the small 5% deposit needed and its success has seen many of Countryside’s buyers secure their own home far sooner than they’d thought possible. Help to Buy continues to grow in popularity and over 200,000 homes have sold through the scheme since it launched. Many buyers however aren’t aware of the lesser-known Help to Buy ISA – designed to help first time buyers save that crucial deposit.
What is a Help to Buy ISA?
The Help to Buy ISA is a government scheme designed to help first time buyers save to buy a house. The beauty of the Help to Buy ISA is that the Government will contribute 25% towards your total savings. You would need to save a minimum of £1,600 to quality for the 25% Government contribution, which would give you a free £400 bonus. Help to Buy ISAs are capped at a contribution limit of £12,000, which means you could benefit from up to £3,000 from the Government for absolutely free.
How does it work?
Help to Buy ISAs are available to each first time buyer so if you are buying a home with a partner who is also a first time buyer, you can each have individual Help to Buy ISAs to go towards one house. Once you have reached your savings total, the Government bonus will be added and goes towards your overall deposit. And the icing on the cake is that Help to Buy ISAs can be used in conjunction with Help to Buy but can also be used for any mortgage – you aren’t just restricted to a Help to Buy mortgage.
Don’t just take our word for it!
Our buyers Michaela and Daniel were able to buyer their brand new home with Countryside thanks to the Help to Buy ISA. Michaela commented: “We both set up a Help to Buy ISA to start saving towards a deposit. As both Daniel and I had an ISA each, it meant that a year later we had saved enough and were ready to buy.
“Together with our ISAs, we also used the Help to Buy scheme and everything just happened so quickly from then onwards. We had first thought the process would take a lot longer than it did but everything was really easy and straightforward.”
The 30th November deadline to apply is fast approaching but there is still time for first time buyers to open a Help to Buy ISA. For more information, visithttps://www.helptobuy.gov.uk/help-to-buy-isa/how-does-it-work/