Two thirds of potential buyers plan to use the Help To Buy ISA scheme to save a deposit for a home.

The research by MoneySuperMarket found that 82% of prospective buyers think the scheme will help them get on the property ladder ealier than planned.

Help To Buy ISAs, which were launched on 1st December 2015, allow individuals over the age of 16 to save up to £200 into an account per month.  Buyers can also deposit a lump sum of up to £1,000 when they set up their account.

The money will earn interest and will also qualify for a 25% bonus (up to £3,000) from the government provided the funds are used to buy a house.

To be eligible a person must be 16 or over and be planning to buy a home under £250,000 (or £450,000 in London).

However, MoneySuperMarket found that people don't necessarily intend to spend their Help To Buy savings on a deposit.

Of those who plan to open a Help To Buy ISA:

- 32% will put the money towards their deposit

- 13% will use it to pay stamp duty

- 10% will spend it on legal fees

- 15% will buy furniture

- 9% will spend it on home renovations

For more information on ISAs and advice on your financial planning, call Elpizo Accountancy today.