Help to Buy ISA

krm71

Hi, 

My Son has a help to buy ISA. He is asking whether he can purchase his first property using his HTB then, in years to come, rent said property out. Is that allowed within the rules of HTB ISA? If so, would he need to wait a certain amount of time before considering this. 

Thanks for any info. 

Exodi

As far as I'm aware, there are no restrictions post purchase when using a HTB ISA (though they stipulate as part of the buying process that the house should be where you intend to live).

On a different note, your son would likely be unable to let the property out with a residential mortgage and would instead need to consider a buy to let mortgage.

Diving into being a landlord soon after buying his first property sounds very risky, I hope he understands his responsibilities here, it's not free money like social media suggests it is (I say this deliberately as promoting property rental as a shortcut to wealth is quite common among the young and impressionable on social media). The barrage of threads on this forum about the frustrations of being a landlord may serve as evidence that the reality is not so rosey.