24 August, 2016
There has been some confusion about the operation of the Help to Buy ISA scheme. The Treasury’s guidance for conveyancers sets out that the draw-down of the Help to Buy ISA bonus should take place immediately prior to completion. The savings themselves can be withdrawn by the homebuyer earlier to use as part of the deposit on their new home. This process was set up to avoid any difficulties that would arise in the event of a house purchase that fell through at any earlier stage. It is important that all intermediaries, from the ISA providers themselves, mortgage brokers and lenders to conveyancers are clear with the home-buyer about when and for what purpose the ISA savings and bonus can be used.