Help to buy ISA conditions

halfajack

Hi all. I know I'll have to go to a solicitor for a definitive answer but wondered if anyone had any experience or knowledge of this. I encouraged my partner to take out a help to buy ISA and our flat is currently in my name only (mortgage and title deeds). My plan at the time was that we would sell and buy a new place together, for which he would claim his bonus. However, as time has gone on I don't foresee when we'll ever get our act together and move on, especially since we're still happy here at the moment. I wondered if it's possible to sell him a stake in my property for a set amount (whatever is saved in the ISA so far plus the bonus) through a solicitor and have his name added to the title deeds. This may be further complicated by the fact the majority of the property is still owned by the bank. Any thoughts would be greatly appreciated. As I type this, I realise that I may be oversimplifying things but we can hope!

halfajack

Just giving this a little signal boost in the hopes someone in the know will see it.

~shoozy~

The Help to Buy ISA bonus can only be used towards the deposit, so while you can use the balance of the account you wouldn't be able to claim the bonus if you're not putting down a deposit.

I'm happy to be corrected by someone more experienced than me but that's the way I was told you use the bonus.

halfajack

Thanks Shoozy. That's helpful but my partner wouldn't be applying for a mortgage so the whole payment for a share of the property would be up front. I have seen that the bonus only pays out after completion but does that mean it's only payable when a mortgage is involved?

Verix

I've never heard of this being attempted before but I can't see it being acceptable unfortunately.

diggingdude

I think you could sell him the flat and if its under the costing limits he could claim the bonus. The fees involved for both of you would likely wipe out most of his bonus making it not worth it. Doubt it will work for him becoming a part owner sorry on a property his partner already owns

halfajack

Thanks both. I did think it was an unusual idea but worth a shot.

pink_pirlie

It would probably be worth while him to keep depositing in and using it when you do eventually buyba house together- even if that is a few years down the line. The bonus would be substantially higher after a few more years saving too.
Depending on how much is in there and how much he can afford to save each month he could consider moving to a Lifetime ISA.
Check amount that can bout saved in each, conditions and penalties for withdrawal, etc. And do a comparison what would be best for him/ your partnership.