Help to Buy ISA question

Tadpo1e

Me and my partner are in the process of saving for our first home together. We are both taking advantage of the help to buy ISA. However, we've come across a question that no one seems to be able to answer, and we cannot find an answer online.

We understand that the bonus you receive from the government MUST go towards the deposit of the house. But what about the rest of the money in the help to buy ISA.

For example, if we both save the minimum of £1600 and get the £400 each, and went for a small 2 bedroom property for £60k. A 5% deposit is only £3k. Would we be able to use the £800 government money, add the extra £2200 to reach the deposit, and then use the left over £1000 towards other costs, such as legal fees, furniture etc? Or would we need to use all the savings in order to use the government bonus?

Marblehead_2

I've just closed mine today - the funds were paid into my current account pretty much immediately (Halifax HTB to NatWest current account) - so the money which you have deposited is yours to spend as you wish.

Your solicitor then applies for the bonus which must go to the completion of the purchase. The exact workings of this part are still a mystery to me! Hoping to complete on Monday but am doubtful the bonus funds will come through in time. Halifax said they would, solicitor said they wouldn't, Halifax said even if they don't I can still claim it up to 12 months after closing, even if I complete 3 days after closing.... Not convinced, particularly by that last part, but I thought I'd gamble it and cross the bonus bridge later.

colsten

3 weeks ago, someone claimed they had their bonus within 1 day of requesting it

http://www.moneysavingexpert.com/news/savings/2016/02/first-help-to-buy-isa-bonuses-paid-out-as-couple-from-colchester-bag-800-between-them