Recent years have seen various government backed schemes launched which are primarily aimed at helping first time buyers get onto the property ladder. The most well known savings scheme is the Help to Buy Individual Savings Account (HTB ISA) which closed on the 30th November 2019. They are no longer available to new savers however existing account holders will have until the 1st December 2030 to claim any bonus payments.
This has caused some concern for potential first time buyers which were unable to open an account before the deadline. An alternative solution is however, already available.
LISA savings accounts, an acronym for Lifetime ISA’s, were launched in 2017 and can also be used to provide additional funds towards a purchase by way of a government backed bonus. For whatever reason the LISA received much less attention when it was launched resulting in the HTB ISA being much more popular. It is however a viable alternative which in some situations may actually provide a bigger bonus than the HTB ISA did.
Whichever scheme you choose to use it is important to draw it to your legal representatives’ attention as soon as possible, once you have found the perfect first home. For both accounts the government bonus is arranged by and paid directly to your representative and they will be able to guide you through the process to ensure your purchase proceeds smoothly with the minimum of fuss.
Buying your first home can be stressful but the residential property team at Scott Fowler solicitors are very conscious of this. We offer a friendly and approachable service and are happy to discuss any concerns or queries you may have throughout the transaction to ensure your purchase is hassle free. If you are considering making the first step onto the housing ladder don’t hesitate to contact us.
To find out more about ISA's please contact Mathew Jackson on 01604 750 506