Launched in December 2015, the Help to Buy ISA is another possible way to help boost your deposit for a first home.
When you purchase your new property, the government will pay you a bonus of 25% of the amount that have saved yourself, up to a total bonus of £3,000.
So, for each £100 that you save the government will give you a further £25.
The minimum government bonus is £400, so you need to have saved at least £1,600 into your Help to Buy: ISA before you can claim.
The bonus is paid once, as you purchase your new home. When your solicitor or conveyancer start their work, they will need to apply to the government for the funds, which can then be used as part of the deposit payment.
It’s worth noting that after 30 November 2019, Help to Buy ISAs will no longer be available. If you opened an ISA before this time, you do not need to close the ISA on or before this date and you can continue saving in your account.
For more information on Help to Buy ISAs, check out the government’s official site.