ISA Bonus

M_CP

Hi,

The situation is as follow, my partner and I are purchasing 35% of a shared ownership flat, which is worth £74,900. We have £4,000 deposit, which is divided into two Help to buy ISA, this means that we will be getting £500 government bonus in each ISA. Our mortgage is for £70,900 (the difference). My question is, How are we going to use that £1,000 from the bonus? I mean we already have enough deposit and mortgage to cover the cost of the property.

kingstreet

Only use £3,000 of the £4,000?

Reduce your mortgage by £1,000?

M_CP

We have already got our mortgage offer for £70.900. Also, because the exchange date and complication date are different, we can't use it as deposit as the bonus is only given to our solicitors in the completion date.

kingstreet

You mean you can't use it as the 'deposit' towards exchange of contracts, but you can use it for the final deposit for completion?

Just like those putting down more than the usual 10% deposit give that to their solicitor for exchange of contracts then give them the remainder ahead of completion.