Are we 1st time buyers?

Erucsbo_2

Hello

15 years ago I had a part rent-part buy house. I sold it in 2008 and have been renting since then.
I have subsequently met and married my wife, and we have been saving hard to get back onto the property ladder.

I had been considering a lifetime ISA to help get the money funds up, but I fear that since I had a half property ownership that this would mean that in fact I am not a 1st time buyer meaning the 25% government boost would be void.

My wife has never owned a house either part or otherwise and so if we bought together would we be considered 1st time buyers?

Could we perhaps set up a lifetime ISA in her name and qualify for the funding boost that way?

I find it a real struggle to both rent and save for a mortgage deposit again and the government boost would really help!

Many Thanks

sully1311

Your wife is a 1st time buyer (as long as she's under 40) so can apply but unfortunately you are not.

kingstreet

However, some lenders would allow you a FTB mortgage product.

Harvic

Yeah sadly you won't be classed as a FTB. You can always max out your wife's allowance (if you were both FTB you would both get an allowance)- and LISA will allow you to make greater contributions (up to £4k/year) compared to HTB ISA. I believe you have to hold LISA for at least a year to get the bonus however if you were planing on making an offer sooner?

Erucsbo_2

Thank you.

So if I understand correctly, we could open a LISA in my wife's name. Pool our money here for (at least 12 months) get a 25% gain and she could use this as a deposit on a house we buy together?

Since she is a FTB that is okay even though she and I are buying as a couple?

Harvic

That's correct, the LISA limit is individual not joint.

See excellent guide on MSE website:
moneysavingexpert.com/savings/lifetime-isas/#buyingaproperty

Worth reading in detail, particularly so that you can check your individual situation.