Can I use LISA bonus with a Help To Buy equity loan if the property is worth more than £450k?

Question

I'm looking to buy a flat in London. I'd had a Lifetime ISA for 2 years which I've maxed out both times (~£10k). I'm also looking to get a Help to Buy equity loan, probably for the maximum of 40%, unless there's a compelling reason not to.

The equity loan is not limited by any specific value but the property must be a new-build.

I am only eligible to receive the LISA bonus if "the property costs £450,000 or less" but I'm not sure whether that refers to the full property value.

Suppose I wanted to purchase property for £460,000. I have a deposit of around £50,000. The equity loan would be £184,000, leaving a mortgage of £226,000.

Am I able to claim the LISA bonus in such a case? I found the following on moneysavingexpert but I don't think it's worded very well. It looks like I couldn't but it'd be good to know for sure.

To get the bonus you'll just need to buy a property that costs £450,000 or less with any residential mortgage (not buy to let). That includes Right to Buy, shared ownership, self-builds, and Help to Buy loans.

Answer 1

I think the gov.uk page you linked to and quoted is perfectly clear - the property must cost £450,000 or less. It says nothing about how you are paying for that cost or in what proportions.

Look at it another way - if someone bought a £100k house with a £10k deposit, a £40k loan and a £50k mortgage, and someone else asked them how much it cost - the answer would be £100k.

So, no, you cannot claim the LISA bonus to buy a £460,000 house.