My Job Inspired me to Save Money
- AuthorSophie Cavill
Working at Andrew & Co Solicitors in the Residential Property Team I have seen some clients easily benefit from the bonus available through a Help to Buy ISA and wondered why others are not taking advantage of the free money available to first time buyers.
It is an easy way of gaining extra financial support at that really hard point of getting on the property ladder.
It made me realise that, even as a younger person who is not yet in the position to buy a house, I could gain a real advantage for my future savings for a home of my own. I only had to open my account with £1 to ensure I have the option of saving more and gaining additional money from the government. The bonus that is paid by the Government is at 25% and with a possible maximum return of £3000.
Why should you have a Help to Buy ISA?
The main questions are;
• Do you know about Help to Buy ISAs
• Why are you not saving in a Help to Buy ISA
• Do you want free money?
Help to Buy ISA - What is it?
The Help to Buy ISA will only be available for a few more months. After 30th November 2019 you will no longer be able to get one. You don’t need to be buying a house just now or even in the near future. Just opening the ISA before the 30th November will give you a choice to claim the bonus in the future. If you save £3, 000 you gain an additional bonus of £750 or save the maximum of £12,000 and you will be allowed the maximum bonus of £3,000.
Each person who takes out a Help to Buy ISA will be able to save towards gaining the maximum bonus of £3000. If you are buying jointly with a partner this could mean an additional £6000 towards the costs involved in buying your first home.
There are rules around gaining the advantage so you do need at some point to be able to save regular amounts and there are minimum and maximums that apply. It is easy to find out more by doing some online research between banks and other lenders or perhaps with the Money Advice Service.
The Government also has lots of advice – See Help to Buy
This ISA gave me a real incentive to save, the more you put in, the more you get out. It is so easy to arrange and when it does finally come to the time when you need the bonus from the Government your solicitor will need to claim it for you, to add to your financial pot during the house purchase process. You could use the bonus to top up your deposit or towards the costs of purchase.
The Help to Buy ISA also means that you get more reward than from a savings account or a normal Cash ISA.
This isn’t just for younger people though. It is for anyone who is purchasing their first home. You might have been in rented accommodation for a while and now find you are able to buy your own home. This scheme gives help to people who are struggling to save a deposit.
Make sure you don’t miss the opportunity to get financial help with your first home. It is really easy especially if you apply to your current bank. There are other suppliers though. You may be able to transfer funds from a Lifetime ISA or a Cash ISA to a first time Buyer ISA but you will need to check with your provider.
Find out more about your purchasing options - see our residential conveyancing pages on our web site or you can discuss your options further by calling
01522 512123 and ask for residential conveyancing team or email email@example.com.