Help to Buy Isa savers can bag a bigger annual bonus from the government by shifting their cash to a Lifetime Isa before next April.
Saving up a significant deposit is among the biggest challenges facing first-time buyers, with slow wage growth and rising property prices locking many out of home ownership.
Savings accounts such as the and give savers a boost in the form of a 25% bonus when they come to buy a house - and until next April, switchers can benefit from a bigger bonus, potentially even doubling the government's contribution.
Savers are able to deposit up to £4,000 a year into a Lifetime Isa, and the government will pay a monthly bonus of 25% on any contributions made.
Currently, you can transfer your Isa balancefrom last tax year (ending 5 April 2017) across to a LISA without the funds counting towards your yearly contribution limit.This meanscould get a bigger bonus from the government towards buying a home or retiring.
But time is running out - the exception is only available until5 April 2018.
Let's assume you've had a Help to Buy Isa since its launch in December 2015. If you've maxed out your deposit limits by April 2017, you'll have a total balance of £4,000.
You can transfer this into the LISA, on top of your normal yearly LISA allowance of £4,000 - meaning your maximum bonus could be £2,000 for the year, instead of £1,000.
While both the Help to Buy Isa and LISA offer a 25% bonus on your savings when you come to buy a house, the LISA has some better long-term advantages.
Ultimately, it's likely that LISAs will eventually take over from Help to Buy Isas - which will only be available until November 2019.
There is one circumstance where transferring your Help to Buy Isa balance to a LISA would be a mistake, however.
If you're planning buying a home in the next year, you're better off keeping the cash in a Help to Buy Isa - as you can't withdraw funds and redeem your bonus until you've had a LISA for a year.