Help to buy

lynnemincher

My son and his girlfriend are buying their first home they have the agreed 5% deposit which is made up of savings and help to buy savings so the bonus has not been taken into account. Where does the bonus go? They have tried asking solicitor but are getting confused. 

grumiofoundation

The help to buy bonus can only be used towards the completion deposit (not the exchange deposit). 

https://www.helptobuy.gov.uk/help-to-buy-isa/how-does-it-work/

"Receive bonus: when you are close to buying your first home, you will need to instruct your solicitor or conveyancer to apply for your government bonus.Once they receive the government bonus, it will be added to the money you are putting towards your first home. The bonus must be included with the funds consolidated at the completion of the property transaction. The bonus cannot be used for the deposit due at the exchange of contracts, to pay for solicitor’s, estate agent’s fees or any other indirect costs associated with buying a home."

eskbanker

Or to put it another way, this effectively means that the bonus goes towards reducing the mortgage....