‘Unbeatable’ Martin Lewis-backed £1 scheme for anyone turning 18 | Personal Finance | Finance
The average age of a first-time buyer in the UK is 34 years old. This has climbed significantly in recent years due to rising house prices, larger deposit requirements, and the need for dual-income households to support the cost of living.
But starting to save early can get young people on the right track to beating that average. In a video shared to Instagram, Martin Lewis said: “Here’s a very simple rule. In the first couple of days after you turn 18, put £1 into a Lifetime ISA.
“The big thing to understand about a Lifetime ISA is you are allowed to save up to £4,000 a year in it. And if you do, the state adds 25% on top towards your first home.”
Martin told the secondary school pupils listening to his talk that the Lifetime ISA is “the unbeatable way to save for your first home”. He did point out one potential issue that some people may encounter after saving.
He added: “You can only use [a Lifetime ISA] to buy a property under £450,000. Some of you watching in Newcastle or somewhere in the north east will be thinking that’s great. But those watching here [in London] might realise that a first-time property in London might cost you more than £450,000 – and, if you buy one over £450, there’s a penalty.”
Following a few simple ‘rules’ will ensure people can get the most for their money, with a helping hand from the government. Martin said that these accounts must be open for at least a year before you can get the bonus on your first property.
So, starting as soon as possible with the minimum amount of £1 starts that requirement off – even if young people “forget all about it”.
Martin said: “You’ll soon get past that year without noticing, and then, if you suddenly need it later on – maybe you came into an inheritance, you came into some money another way, you can shove your cash in and then you can use it straight away to get your 25% bonus if it’s right for you.”
Can people combine Lifetime ISAs when jointly buying their first home?
Young couples could speed up the process tenfold if they work smartly and eventually combine their accounts and bonuses when searching for a property. A couple who are both first-time buyers can merge their individual Lifetime ISA funds to purchase a single property together.
By doing this, both partners can utilise their own 25% government bonuses (up to £1,000 per year) toward the same deposit. For example, if both people saved the maximum yearly amount of £4,000 in their respective accounts (£8,000 overall), each would get a £1,000 government top-up (adding £2,000 to the pot).
That totals £10,000 a year, which could be a very healthy deposit, depending on the kind of property and where in the UK you are buying. For more detailed information on starting and managing your own Lifetime ISA, visit Martin’s website here for a full guide, including some of the best options for opening new accounts as of June 2026.
