Santander, a prominent mortgage lender, has reported that over 20% of its first-time homebuyers in the current year are above 40 years old, 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 in life. This trend of older first-time buyers is leading to the likelihood of carrying mortgages well into their senior years.
Recent statistics from Santander indicate a noticeable increase in older individuals entering the mortgage market, with 22% of first-time buyers in 2025 aged over 40, compared to 18% in 2024. Additionally, there has been a significant surge in individuals over 60 purchasing their first property, marking a 14% rise from the previous year.
Santander disclosed that their oldest first-time buyer this year was 70 years old, up from 67 in 2024. The lender 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, there is a decline in younger individuals fulfilling their dream of homeownership. The proportion of buyers aged 25 and below has dropped substantially between 2024 and 2025, with the youngest first-time buyer this year being 18.
David Morris, head of homes at Santander, emphasized that achieving homeownership is achievable at any age. He pointed out that this year has favored buyers, instilling confidence through regulatory changes, making homeownership more attainable. Morris highlighted the diversity in first-time buyers across different age groups, citing various means such as family gifts, inherited wealth, or long-term savings for down payments.
He also acknowledged the growing gap in first-time home ownership between younger and older generations, attributing it to stamp duty changes and limited supply in the housing market. Lenders typically set age limits as eligibility criteria for mortgage applicants, considering factors such as life expectancy and the borrower’s age at the end of the mortgage term, which can sometimes extend up to 95 years old.
While 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.