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Help to Buy ISA |
Lifetime ISA |
| Who can have the account? |
Anyone over the age of 16 who has never owned a property. |
Anyone aged 18 to 39 but if you want to use the money to purchase a house you can't have owned a home before. |
| What kind of ISAs are there? |
Cash ISAs only. |
Cash ISAs and Stocks and Shares ISA. |
| How much can you pay in each year? |
£3,400 in the first year and £2,400 per year from the second year onwards.
This counts towards your ISA allowance of £20,000 per tax year |
£4,000 per year.
This counts towards your ISA allowance of £20,000 per tax year. |
| What bonus is paid? |
25% of your contributions up to a maximum of £3,000.
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25% of your contribution. |
| When is the bonus paid? |
Paid to your solicitor on completion of your property purchases. |
Paid into the ISA account every within a month of the contribution being made. |
| Value restrictions on properties bought |
The property must cost a maximum on £450,000 in London and £250,000 outside of London. |
The property must cost a maximum of £450,000 no matter where in the UK it is located. |
| Can I withdraw/transfer the ISA money without buying a property? |
Yes – but you won’t receive the bonus on the money you withdraw. |
Yes – but you will be charged a 25% penalty on the withdrawal amount.
You can also use this ISA to save for retirement. Withdrawals can be made without penalty once you are 60 years old. |
