Pretty much the same as any ISA, a savings account allowing individuals to hold cash free of tax on dividends, interest, and capital gain. The BIG difference being that the government will give you a 25% bonus on anything you save. This is capped at £3000 meaning you will need to save £12000 to get the maximum benefit.
Initial deposits are capped at £1000, with maximum monthly payments of £200 per month. So to get to the maximum of £12000 would take 4.5 years. The government will pay 25% bonus on any balance over £1600.
Unlike the Help To Buy scheme this ISA is only available to first time buyers. You can also combine ISA's if you're buying with another first time buyer.
The Help To Buy ISA will be available from Autumn this year and new accounts should be available for the next 4 years.
The average asking price for a flat in East Molesey is currently just over £300,000 so for those of you buying together this could really make a difference. If you are considering making your first purchase and would like some advice on how best to proceed, please contact our sales department on 020 8396 6717 and press option 1.