Martin Lewis explains £1 offer everyone born in 2008 should take

Martin Lewis explains £1 offer everyone born in 2008 should take The personal finance expert said everyone turning 18 should do this within days of their birthday The typical age of a first-time buyer in the UK is 34. This figure has risen considerably in recent years due to rising property prices, higher deposit requirements, and some households needing dual incomes to cover living costs. However, beginning to save early can help young people get ahead of that average. In a clip posted 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 that 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 attending his presentation that the Lifetime ISA is "the unbeatable way to save for your first home". He did highlight one potential drawback that some people may face after saving, reports the Express. He said: "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 to a few straightforward 'rules' will help people maximise their savings, with government support. Martin noted that these accounts must remain open for at least a year before you can claim the bonus on your first property. Therefore, beginning as early as possible with the minimum sum of £1 kicks off that requirement - 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." First-time buyers need to meet a number of requirements when using the scheme to help get a boost towards owning their first home. From age limits to buying status, there are a few things to remember: - First-Time Buyer: You must never have owned a home, residential interest in land, or inherited property anywhere in the world. - Age Limits: You must be aged between 18 and 39 to open a LISA. - Price Cap: The maximum purchase price for the property is strictly £450,000. This is the total price, not the amount you are borrowing. - Usage: You must live in the property as your main residence. You cannot use a LISA to purchase a buy-to-let or holiday home. - Mortgage Required: You must use a standard residential repayment mortgage; you cannot use a LISA for a pure cash purchase or buy-to-let mortgage - 12-Month Rule and 'withdrawal fee': It must be at least 12 months since your first payment into the Lifetime ISA before you can withdraw funds without a penalty. Withdrawing funds for any purpose other than buying your first home (or retirement at age 60) will incur a 25% government withdrawal charge, which wipes out the bonus and part of your own savings Is it possible to combine Lifetime ISAs when purchasing a first home jointly? Young couples could significantly accelerate the process if they plan carefully and eventually pool their accounts and bonuses when house hunting. A couple who are both first-time purchasers can merge their individual Lifetime ISA savings to buy a single property together. Through this approach, both partners can take advantage of their own 25% government bonuses (up to £1,000 annually) towards the same deposit. For instance, if both individuals saved the maximum yearly contribution of £4,000 in their respective accounts (for a combined £8,000), each would receive a £1,000 government top-up (contributing £2,000 to the fund). That amounts to £10,000 annually, which could represent a substantial deposit, depending on the type of property and location within the UK. For more comprehensive information on establishing and managing your own Lifetime ISA, visit Martin's website here for a complete guide, including some of the best options for opening new accounts as of June 2026.