Santander, a prominent mortgage lender, has disclosed that over 20% of its first-time home buyers in the current year are above the age of 40, with the oldest borrower being 70 years old.
Due to escalating house prices and changing life circumstances, individuals are finding themselves entering the property market at later stages in life. This trend in increasing age among first-time buyers means that many will be burdened with mortgage repayments well into their senior years.
Recent data from Santander indicates a growing proportion of older first-time buyers in the mortgage market, with 22% of those purchasing their first property in 2025 being over 40 years old, a rise from 18% in the previous year.
While the average age of first-time buyers has been steadily approaching 40, statistics from the lender also reveal a significant uptick in individuals over 60 purchasing their first homes, showing a 14% increase compared to the previous year.
Santander reported that the oldest first-time buyer this year was 70 years old, up from 67 in 2024. The bank has set a maximum lending age of 75 for capital and interest repayment mortgages and 70 for interest-only mortgages.
Despite the growing number of older borrowers, there has been a decline in younger individuals aspiring to own a home. The percentage of buyers aged 25 and under has dropped substantially in the past year, decreasing by nearly a quarter from 2024 to 2025, although the youngest first-time buyer in 2025 was 18 years old.
David Morris, head of homes at Santander, commented, “Our recent data illustrates that achieving homeownership is achievable at any stage in life. This year has seen a surge in homebuyers, with regulatory adjustments instilling confidence that owning a home is a realistic goal.”
Morris added, “While some buyers rely on family assistance, inherited wealth, or long-term savings for a deposit, we are pleased to have assisted numerous first-time buyers across different age groups.”
He further highlighted, “However, there remains room for improvement, as our data underscores a widening gap in first-time home ownership between younger and older generations, influenced by stamp duty revisions and limited housing supply.”
Typically, lenders impose an upper age limit for mortgage applicants, factoring in the borrower’s age at the end of the mortgage term. Alongside soaring property values, increased life expectancy has led to individuals securing mortgages later in life, with age limits sometimes extending up to 95 years.
While obtaining a first-time mortgage at an older age is feasible, lenders may impose restrictions on extending the mortgage term to reduce monthly payments for borrowers.