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 evolving circumstances, individuals are finding themselves needing to wait until later in life to step onto the property ladder. This trend is resulting in many first-time buyers 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 homebuyers in 2025 aged over 40, a noticeable increase from 18% in the previous year.
While the average age of first-time buyers has been gradually approaching 40, statistics from the lender reveal a significant surge in individuals over 60 purchasing their first homes, showing a 14% uptick compared to the previous year.
Santander reported that its most senior first-time buyer this year was 70 years old, compared to 67 in 2024. The bank imposes 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, younger individuals aspiring to own a home are facing a contrasting situation. The proportion of buyers aged 25 and under has notably declined over the past year, dropping by nearly a quarter from 2024 to 2025. Nevertheless, the youngest first-time buyer this year was 18 years old.
David Morris, the head of homes at Santander, emphasized that achieving homeownership is achievable at any stage in life. He attributed the current year as being favorable for buyers, with regulatory adjustments instilling renewed confidence in individuals that owning a home is feasible.
Morris noted that despite assisting numerous first-time buyers across different age groups, there remains a widening gap in homeownership between younger and older generations. This gap is being exacerbated by factors such as changes in stamp duty and a limited housing supply.
Lenders typically establish an upper age limit for mortgage eligibility criteria, considering factors like rising property costs and increased life expectancy that are prompting individuals to secure mortgages later in life. The age limit often aligns with the borrower’s age at the end of the mortgage term, which can extend up to 95 years in some cases.
While acquiring a first-time mortgage at an older age is possible, lenders may impose limitations on extending the mortgage term if borrowers seek to reduce their monthly payments.