Mortgage provider Santander has disclosed that over 20% of its first-time homebuyers in the current year are aged above 40, with the oldest borrower being 70 years old.
Due to escalating property prices and changing life circumstances, some individuals are finding themselves entering the property market at a later stage in life. This trend of older first-time buyers implies that many will carry mortgage liabilities well into their retirement years.
Recent data from Santander indicates a growing proportion of older individuals entering the mortgage market, with 22% of initial home buyers in 2025 aged over 40, up from 18% in the previous year. While the average age has been edging closer to 40 in recent years, there has been a significant surge in individuals over 60 purchasing their first property, marking a 14% increase from the prior year.
Santander reported that the oldest first-time buyer this year was 70 years old, compared to 67 in 2024. The bank sets a maximum lending age of 75 for capital and interest repayment mortgages and 70 for interest-only mortgages.
Conversely, while the number of older borrowers is on the rise, the trend is opposite for younger aspirants looking to step onto the property ladder. The percentage of buyers aged 25 and under has notably declined over the past year, dropping by nearly a quarter from 2024 to 2025. Despite this, the youngest first-time buyer in the current year was 18 years old.
David Morris, head of homes at Santander, remarked, “Our recent findings illustrate that it is never too late to achieve homeownership aspirations. This year has been particularly favorable for buyers, with regulatory adjustments instilling renewed confidence in the attainability of owning a home.”
Morris added, “Although there has been progress, there remains work to be done, as our data highlights a widening gap in first-time home ownership between younger and older generations, influenced by stamp duty alterations and supply inadequacies in the market.”
Typically, lenders impose an upper age limit for mortgage applicants as part of their eligibility criteria. In addition to soaring property costs, increased life expectancy has led individuals to secure mortgages at later stages in life. The age limit is commonly set based on the borrower’s age at the term’s conclusion, often extending up to 95 years in some instances.
While obtaining a first-time mortgage at an older age is feasible, lenders may impose restrictions on extending the term if borrowers seek to reduce their monthly payments.