News: Help to Buy: ISAs opened every 30 seconds

Mon, 08 Feb 16

A quarter of a million first-time buyers have opened a Help to Buy: ISA since launch, the equivalent of one every 30 seconds.

The savings account was first introduced by Chancellor George Osborne in the 2015 March Budget and allows first-time buyers to save up to £200 a month in a dedicated ISA that, upon purchasing a home, will be topped up 25 per cent by the government, up to a maximum of £3,000.

Couples buying together will be able to combine their bonuses, meaning a potential boost of up to £6,000 towards a deposit for a first home.

30,000 accounts have been opened since 1st December 2015, more than half of whom are aged 30 and under.

The first homebuyers have also claimed their Help to Buy government bonus this week, which means the new Help to Buy: ISA is already helping first time buyers onto the housing ladder. Chorley Building Society also offers the new Help to Buy: ISA from today, which means that 15 different bank brands have now signed up to offer the product.

The Chancellor made these announcements while visiting a Persimmon housing development in Sandbach, Cheshire, which provides new-build homes that are available through the government’s Help to Buy scheme. (Over 25,000 people have taken out a Help to Buy: ISA in the North West of England.)

It also follows the launch of London Help to Buy, which increases the equity loan on offer to eligible buyers within the capital to 40 per cent of a home’s value.

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