We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Help to buy isa
natasha22
Posts: 54 Forumite
Hello, im struggling with understanding my help to buy isa and want to check my understanding.
Basically we have enough money without the bonus to cover a 10% deposit. However if we do that for the exchange deposit what then happens with the bonus money?
For example if my bonus was 1000, and house 100,000. If i paid my 10,000 deposit then claimed the 1000, would the 1000 be used for solicitors fees or would it just be given back to us? My fear is that then the 1000 just goes towards reducing the mortgage so we would owe 89,000 rather than 90,000.
We can get the deposit without it so dont want to do the suggested thing of asking for a lower exchange deposit if that might jeopardise the sale, but could do with the goverment contribution to cover solicitors fees, decorating etc
Basically we have enough money without the bonus to cover a 10% deposit. However if we do that for the exchange deposit what then happens with the bonus money?
For example if my bonus was 1000, and house 100,000. If i paid my 10,000 deposit then claimed the 1000, would the 1000 be used for solicitors fees or would it just be given back to us? My fear is that then the 1000 just goes towards reducing the mortgage so we would owe 89,000 rather than 90,000.
We can get the deposit without it so dont want to do the suggested thing of asking for a lower exchange deposit if that might jeopardise the sale, but could do with the goverment contribution to cover solicitors fees, decorating etc
0
Comments
-
The bonus will be paid to your solicitor before completion. If you have arranged a mortgage for £90,000 then that will also be paid to your solicitor prior to completion. Your solicitor will add these to the completion statement along with their fees and any disbursements and calculate the amount that you need to transfer to them in order to complete the sale.0
-
All the monies for the purchase go into a ‘pool’ of money, and any not needed to cover the completion statement (inc sol fees, etc) will be returned to you.
alternatively, why not apply for a mortgage of £89k rather than £90k, as you have £11k for the deposit?0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.2K Banking & Borrowing
- 253.6K Reduce Debt & Boost Income
- 454.3K Spending & Discounts
- 245.2K Work, Benefits & Business
- 600.9K Mortgages, Homes & Bills
- 177.5K Life & Family
- 259K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards