Santander, a prominent mortgage lender, has disclosed that over 20% of its first-time homebuyers 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. This trend implies that many first-time buyers will be carrying mortgages well into their senior years.
Recent data from Santander indicates a growing trend of older individuals entering the mortgage market, with 22% of first-time buyers in 2025 being over 40 years old, up from 18% in the previous year. Moreover, there has been a notable 14% increase in individuals over 60 purchasing their first property compared to the previous year.
Santander reported that the oldest first-time homebuyer this year was 70 years old, compared to 67 in 2024. The lender imposes a maximum lending age of 75 for capital and interest repayment mortgages and 70 for interest-only mortgages.
While the number of older borrowers is on the rise, there is a contrasting decline in younger individuals aspiring to own a home. The proportion of buyers aged 25 and under has significantly dropped from 2024 to 2025, with the youngest first-time buyer this year being 18 years old.
David Morris, head of homes at Santander, emphasized that achieving homeownership remains achievable at any age. He highlighted the impact of regulatory changes in boosting buyer confidence and enabling many across different generations to realize their homeownership dreams.
Nevertheless, Morris pointed out a concerning disparity in first-time home ownership, noting a widening gap between younger and older generations due to factors like stamp duty changes and limited housing supply. Lenders typically set an upper age limit based on when borrowers will reach the end of the mortgage term, which can extend up to 95 years in some cases.
Although obtaining a first-time mortgage at an older age is feasible, lenders may impose restrictions on extending the mortgage term to lower monthly payments for borrowers.
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