Help to Buy ISA rules: Where you plan to live could mean you fail to get 25 percent bonus


    The Help to Buy ISA is no longer open to new savers, although it is something which those who do already have an account can continue to use. This will be a savings option for account holders until November 30, 2029, at which point accounts will close to new contributions.

    Then, savers will need to claim the bonus that savers could get by December 1, 2030.

    There’s a whole host of rules which savers must stick to if they want to get the 25 percent bonus via this account.

    As the name suggests, the account is intended to help people to buy a property, and savers must be a first time buyer to use it.

    “A first time buyer is someone who does not own, and has never owned, a home anywhere in the UK or the world,” guidance on the government’s Help to Buy website states.

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    In addition to being the only home the buyer will own, the property which is being bought must be in the UK.

    Another factor to consider will be the purchase price.

    This is because it must have a price of up to £250,000 – or up to £450,000 in London – to qualify for the savings boost from the government.

    Where the purchaser plans to live is also important.


    That’s because the rules state to qualify for the Help to Buy bonus, it must be “where you intend on living”.

    Finally, savers need to be aware that to be eligible, the buyer must purchase the property with a mortgage.

    There is also a rule when it comes to the saving of the money.

    It’s possible to save up to £200 per month in a Help to Buy ISA.

    There’s also an upper limit which savers may want to take note of too.

    The maximum government bonus which can be paid via this account is £3,000.

    To get it, the saver must have put £12,000 into the account.

    Help to Buy ISAs are available to each buyer rather than each household, meaning two first-time buyers purchasing together could get a maximum government bonus of £6,000 towards it.


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