Santander, a prominent mortgage lender, has disclosed that over 20% of its first-time homebuyers this 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 needing to delay purchasing a home until later stages of life. This trend has led to an increase in the average age of first-time buyers, potentially resulting in prolonged mortgage commitments for many.
Recent data from Santander indicates a growing presence of older first-time buyers in the mortgage market, with 22% of new homeowners in 2025 aged over 40, up from 18% in 2024. Notably, there has been a significant surge in individuals over 60 purchasing their first property, marking a 14% increase compared to the previous year.
The oldest first-time buyer facilitated by Santander this year was 70 years old, a rise from 67 in 2024. The bank enforces 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, there is a decline in younger individuals aspiring to own homes. The proportion of first-time buyers aged 25 and under has notably decreased by nearly a quarter from 2024 to 2025, although the youngest first-time buyer this year was 18 years old.
David Morris, the head of homes at Santander, emphasized that achieving homeownership remains achievable at any age. Morris highlighted that various factors, including regulatory changes and financial strategies like family gifts or long-term savings, have empowered individuals of different generations to realize their homeownership goals.
Despite these positive developments, Morris acknowledged the widening gap between younger and older generations in terms of homeownership, attributing this disparity to market dynamics influenced by factors such as stamp duty changes and housing supply limitations.
Typically, lenders impose an upper age limit for mortgage applicants as part of their eligibility criteria. Alongside rising property prices, longer life expectancies have contributed to individuals seeking mortgages later in life. The age limit often corresponds to the borrower’s age at the mortgage term’s conclusion, which can extend up to 95 years in certain cases.
While obtaining a first-time mortgage in older age is feasible, lenders may restrict term extensions if borrowers require lower monthly payments to manage their financial obligations.