Money and mortgages
Using a Lifetime ISA to Buy Your First Home
A clear guide to the main Lifetime ISA first-home rules, including the £450,000 property limit and 12-month timing requirement.
Quick answer
A Lifetime ISA can be used towards an eligible first-home purchase if the property costs £450,000 or less and you buy at least 12 months after your first payment into the account. Other scheme conditions apply, so check the official rules early.
Education, not advice. Use this as a clear starting point, check the linked official sources and speak to an appropriately regulated professional before acting. Read the disclaimer
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The key first-home conditions
GOV.UK says you can use Lifetime ISA savings to help buy your first home if all the scheme conditions apply. Two details catch buyers out most often:
- The property must cost £450,000 or less.
- You must buy the property at least 12 months after making your first Lifetime ISA payment.
- You must be buying with a mortgage.
- Your conveyancer or solicitor handles the withdrawal for the purchase.
Why you should check early
The 12-month rule means a Lifetime ISA cannot usually be opened at the last minute for an imminent purchase. The £450,000 cap also matters when you are setting your search area and maximum property budget.
If you are buying with someone else, check the official rules for each buyer's circumstances and tell your conveyancer early that you plan to use a Lifetime ISA.
Do not withdraw the money yourself without checking
Lifetime ISA withdrawals that do not meet the rules can trigger a withdrawal charge. Use the official guidance and ask your provider and conveyancer what steps and timescales apply to your purchase.
Common questions
Can I use a Lifetime ISA for a home costing more than £450,000?
The GOV.UK first-home withdrawal rules state that the property must cost £450,000 or less. Check the official guidance before making plans.
Can I open a Lifetime ISA just before buying?
For an eligible first-home withdrawal, GOV.UK says you must buy at least 12 months after making your first payment into the Lifetime ISA.
Official sources
Use these sources to check the latest rules and read more detail:
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