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  • FIRST POST
    • Juniortopp
    • By Juniortopp 3rd Jul 18, 10:07 AM
    • 16Posts
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    Juniortopp
    Help To Buy ISA - Halifax
    • #1
    • 3rd Jul 18, 10:07 AM
    Help To Buy ISA - Halifax 3rd Jul 18 at 10:07 AM
    I have a help to buy isa and have been putting maximum payment pf £200 into it for 2 years every single month.
    I have recently just had an offer accepted on a house and I get married next year also.
    So we have a current account with wedding fund in it.

    My query is this:
    If I use my wedding fund (current account) to place as deposit, can myself and my partner keep our help to buy ISA opened and use it as my wedding fund as the interest rate is better on that account?

    Thanks,
Page 1
    • eskbanker
    • By eskbanker 3rd Jul 18, 11:04 AM
    • 7,544 Posts
    • 8,185 Thanks
    eskbanker
    • #2
    • 3rd Jul 18, 11:04 AM
    • #2
    • 3rd Jul 18, 11:04 AM
    If you don't use the HTB money towards the property purchase then you don't get the 25% government bonus, so it would seem self-defeating not to use it for the purpose it was designed and structured for!

    And no, a HTB ISA shouldn't be kept open once you've bought and are therefore no longer a first time buyer....
    • Juniortopp
    • By Juniortopp 3rd Jul 18, 11:54 AM
    • 16 Posts
    • 0 Thanks
    Juniortopp
    • #3
    • 3rd Jul 18, 11:54 AM
    • #3
    • 3rd Jul 18, 11:54 AM
    We used is as a saving account for the first purchase but heard that we are not allowed to use it for our property purchase as it's not a brand new built house.

    The house we are purchasing is 15 years old. Do you know if I can still use the help to buy?

    Thanks
    • eskbanker
    • By eskbanker 3rd Jul 18, 12:01 PM
    • 7,544 Posts
    • 8,185 Thanks
    eskbanker
    • #4
    • 3rd Jul 18, 12:01 PM
    • #4
    • 3rd Jul 18, 12:01 PM
    We used is as a saving account for the first purchase but heard that we are not allowed to use it for our property purchase as it's not a brand new built house.

    The house we are purchasing is 15 years old. Do you know if I can still use the help to buy?
    Originally posted by Juniortopp
    I think you're confusing two entirely separate schemes, although both are unhelpfully called Help To Buy....

    The Help To Buy Equity Loan scheme is only available for new-build properties, but the Help To Buy ISA scheme has no such restriction.

    Details of both schemes are at https://www.helptobuy.gov.uk/
    • Alexland
    • By Alexland 3rd Jul 18, 12:04 PM
    • 2,717 Posts
    • 2,062 Thanks
    Alexland
    • #5
    • 3rd Jul 18, 12:04 PM
    • #5
    • 3rd Jul 18, 12:04 PM
    HTB ISA bonuses can be claimed on any age of property so don't confuse it with the HTB equity loan scheme.
    Last edited by Alexland; 03-07-2018 at 12:07 PM.
    • Juniortopp
    • By Juniortopp 3rd Jul 18, 12:31 PM
    • 16 Posts
    • 0 Thanks
    Juniortopp
    • #6
    • 3rd Jul 18, 12:31 PM
    • #6
    • 3rd Jul 18, 12:31 PM
    Thank you for all your help. Greatly appreciated.

    if we decide not to use the Help to buy cash isa scheme does this mean we can leave it as a savings pot for future or is it mandatory for it to be closed down?
    • Alexland
    • By Alexland 3rd Jul 18, 12:46 PM
    • 2,717 Posts
    • 2,062 Thanks
    Alexland
    • #7
    • 3rd Jul 18, 12:46 PM
    • #7
    • 3rd Jul 18, 12:46 PM
    If you own property you are not eligible to hold a HTB ISA so you would need to close the account.
    • Juniortopp
    • By Juniortopp 3rd Jul 18, 2:07 PM
    • 16 Posts
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    Juniortopp
    • #8
    • 3rd Jul 18, 2:07 PM
    • #8
    • 3rd Jul 18, 2:07 PM
    argh OK

    So thats fine then ! need to start transferring to a fixed rate ISA for a year then to help with good interest % then.
    • Alexland
    • By Alexland 3rd Jul 18, 2:31 PM
    • 2,717 Posts
    • 2,062 Thanks
    Alexland
    • #9
    • 3rd Jul 18, 2:31 PM
    • #9
    • 3rd Jul 18, 2:31 PM
    I am still not quite sure why you are not using the HTB ISA to buy a property?

    Is the likely property value going to be over the limit?
    • sugarbabe84
    • By sugarbabe84 4th Jul 18, 9:03 AM
    • 254 Posts
    • 33 Thanks
    sugarbabe84
    A Help To Buy ISA is not an ordinary ISA.

    It!!!8217;s an ISA to be used when buying a property.

    It has many strict criteria and you can not just simply claim the bonus. Read up on the process involved in claiming the bonus and make sure you are meeting all the right criteria.
    • Juniortopp
    • By Juniortopp 4th Jul 18, 1:50 PM
    • 16 Posts
    • 0 Thanks
    Juniortopp
    I am still not quite sure why you are not using the HTB ISA to buy a property?

    Is the likely property value going to be over the limit?
    Originally posted by Alexland
    No it wont be over limit - we have the 10% deposit made up for property value so dont see the benefit of using it.
    I believe with help to buy when / if we sell and the property is worth more than we bought it for - the government will look for a % of the sale. So we dont want to be tied into that type of contract.

    Can you confirm if thats true?

    Thanks,
    • Juniortopp
    • By Juniortopp 4th Jul 18, 1:57 PM
    • 16 Posts
    • 0 Thanks
    Juniortopp
    I am in scotland if this makes any difference.
    • sugarbabe84
    • By sugarbabe84 4th Jul 18, 2:02 PM
    • 254 Posts
    • 33 Thanks
    sugarbabe84
    No it wont be over limit - we have the 10% deposit made up for property value so dont see the benefit of using it.
    I believe with help to buy when / if we sell and the property is worth more than we bought it for - the government will look for a % of the sale. So we dont want to be tied into that type of contract.

    Can you confirm if thats true?

    Thanks,
    Originally posted by Juniortopp
    You are still confusing Help To Buy Equity Loan and Help To Buy ISA. They are totally different schemes, each with their own rules.
    • Juniortopp
    • By Juniortopp 4th Jul 18, 2:06 PM
    • 16 Posts
    • 0 Thanks
    Juniortopp
    So I am looking at maybe using help to buy scheme to help me purchase a house.

    I have 10% deposit my mortgage will be 90%
    I dont really need to use the help to buy scheme.

    Can you confirm the benefit of using it?

    THanks,
    • sugarbabe84
    • By sugarbabe84 4th Jul 18, 2:11 PM
    • 254 Posts
    • 33 Thanks
    sugarbabe84
    So I am looking at maybe using help to buy scheme to help me purchase a house.

    I have 10% deposit my mortgage will be 90%
    I dont really need to use the help to buy scheme.

    Can you confirm the benefit of using it?

    THanks,
    Originally posted by Juniortopp
    You use the Help To Buy Equity Loan if you donít have enough deposit of 10%.

    It allows you to put in a 5% deposit whilst the govt puts in up to 20%.

    It sounds like it would be of no benefit to you in this instance.
    • Juniortopp
    • By Juniortopp 4th Jul 18, 2:20 PM
    • 16 Posts
    • 0 Thanks
    Juniortopp
    no problems - thank you for your patience in explaining this.
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