The proportion of older first-time buyers is growing, according to new research from Santander, with the number of buyers aged 60 and over in 2025 up by 14% compared to last year.
The oldest first-time buyer helped by the bank this year was 70 years old, compared to 67 in 2024. More than one in five (22%) first-time buyers this year were aged over 40, up from 18% last year.
In contrast, the proportion of first-time buyers aged 25 and under has fallen by 23% since 2024. Although the average age of first-time buyers is edging up, the youngest first-time buyer to get onto the property ladder last year was aged just 18.
David Morris, Head of Homes at Santander, said: “Our recent data shows that it is never too late to realise your homeownership dream. This year has very much been the year of the buyer, with regulatory changes giving buyers renewed confidence that owning a home is within reach.”
Under these changes, lenders are allowed to issue more mortgages with higher loan-to-income ratios, making it easier for buyers to borrow more. The Financial Conduct Authority (FCA) has also allowed lenders to use more flexible interpretations of affordability rules, particularly in the context of “stress tests” which are designed to check whether borrowers can manage higher interest rates.
Varying age limits
The maximum age at which you can take out a mortgage varies depending on which lender you chose, but lenders are increasingly prepared to lend up to, or sometimes beyond, the age of 75.
This will depend on your individual circumstances, however. When assessing affordability criteria, lenders will look at your earned income up to retirement age, and then once you reach retirement, at your income from pensions or other sources, such as rental income or investments.
Santander, for example, has a maximum lending age of 75 for capital and interest repayment mortgages, and 70 for interest-only mortgages, whilst Halifax and Barclays require any mortgage term to finish before or on your 80th birthday. Nationwide mortgages must be repaid on or before the eldest applicant's 75th birthday.
