The Individual Savings Account Regulations 1998

[F1 Definitions for the purposes of paragraph 6 U.K.

7.   The following definitions apply for the purposes of paragraph 6—

“Buy to Let Mortgage” means a loan made to one or more borrowers to be secured by a mortgage over a residential property that is—

(a)

either —

(i)

let at the date the mortgage is granted, or

(ii)

intended by the borrower or borrowers to be let either at that time or in the future, and

(b)

marketed as being intended for such purpose;

“eligible conveyancer” means—

(a)

in England and Wales, a conveyancer within the meaning of rule 217A of the Land Registration Rules 2003;

(b)

in Scotland, a solicitor or advocate within the meaning of section 65 of the Solicitors (Scotland) Act 1980, or a conveyancing practitioner as defined in section 23 of the Law Reform (Miscellaneous Provisions) (Scotland) Act 1990; or

(c)

in Northern Ireland, a person enrolled as a solicitor of the Court of Judicature of Northern Ireland pursuant to the Solicitors (Northern Ireland) Order 1976;

“first-time buyer” means an account investor who is not, and never has been, a residential property owner;

“a legal interest in land” includes land which will be acquired under the terms of a regulated home purchase plan;

“purchase price” means—

(a)

in connection with the acquisition of any legal interest in land in circumstances other than those described in paragraph (b), (c) or (d), the value of the consideration required to be paid, and which is paid, by the purchaser under the sale and purchase agreement entered into in connection with the acquisition of that interest in land; or

(b)

in connection with the acquisition of any legal interest in land under the terms of a regulated home purchase plan, the value of the consideration required to be paid, and which is paid, to the original seller for the interest in that land; or

(c)

in connection with the acquisition of a legal interest in land by an individual who as a result of the acquisition becomes a joint owner of the land with another individual who previously owned the land, the market value of the whole of the land as determined at the time of the acquisition; or

(d)

in connection with the acquisition of a leasehold legal interest in land under a shared ownership arrangement—

(i)

the value determined in accordance with paragraph (a), or

(ii)

the value of the premium required to be paid, and which is paid, by the purchaser under the sale and purchase agreement entered into in connection with the acquisition of that interest, divided by the fraction representing the share of the property to be acquired on completion by the purchaser in return for the premium (howsoever described in the sale and purchase agreement or the lease);

“regulated home purchase plan” means a home purchase plan that is a regulated home purchase plan within the meaning of article 63F of the Regulated Activities Order 2001;

“residential property owner” means an individual who owns as sole or joint owner an interest in residential property (including a legal interest in land acquired under the terms of a regulated home purchase plan or a shared ownership arrangement) which is—

(a)

in England or Wales—

(i)

freehold;

(ii)

leasehold, where the lease was originally granted for a term certain exceeding 21 years; or

(iii)

commonhold;

(b)

in Scotland, registered or recorded, or would be capable of being registered or recorded, as a right of absolute ownership in the Land Register of Scotland or General Register of Sasines in Scotland, as applicable;

(c)

in Northern Ireland—

(i)

freehold; or

(ii)

leasehold, where the lease was originally granted for a term certain exceeding 21 years; or

(d)

an equivalent interest in land to the legal interests in land listed in paragraphs (a) to (c) under the laws of any jurisdiction outside the United Kingdom;

“residential property” means a legal interest in land which comprises a building that is used or suitable for use as a dwelling, or is in the process of being constructed or adapted for such use; and

“shared ownership arrangement” means an arrangement whereby a purchaser acquires from a housing association, local authority or other person a leasehold legal interest in a property which is specified in the sale and purchase agreement and the lease to be comprised of —

(a)

a share for which the purchaser is required to pay a premium on completion, and

(b)

a separate share in respect of which the purchaser is required to pay a periodic rent over the term of the lease.]

Textual Amendments

F1 Schedule inserted (6.4.2017) by The Individual Savings Account (Amendment No. 2) Regulations 2017 (S.I. 2017/466), regs. 1, 31