Santander, a prominent mortgage lender, has reported that over 20% of its first-time homebuyers in the current year are above the age of 40, with the eldest borrower being 70 years old.
Due to escalating house prices and changing life circumstances, individuals are finding themselves needing to delay homeownership until later stages of life. This trend is reflected in Santander’s recent data, showing that a growing segment of the mortgage market consists of older first-time buyers, with 22% of new homeowners in 2025 being over 40 years old, up from 18% in the previous year.
While the average age of first-time buyers has been creeping closer to 40 in recent years, there has been a significant increase in individuals over 60 purchasing their first property, marking a 14% rise compared to the previous year.
Santander highlighted that the oldest first-time buyer 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.
Despite the growing number of older borrowers, there has been a decline in younger individuals entering the property market. The proportion of buyers aged 25 and under decreased by almost 25% from 2024 to 2025, although the youngest first-time buyer this year was 18 years old.
David Morris, head of homes at Santander, emphasized that realizing the dream of homeownership is achievable at any age. He mentioned that this year has been favorable for buyers due to regulatory changes, giving them confidence in affording a home. Morris also acknowledged the disparity between younger and older generations in terms of homeownership, attributing it to factors like stamp duty changes and limited housing supply.
Lenders typically set an upper age limit for mortgage applicants based on eligibility criteria. With rising property prices and longer life expectancies, individuals are increasingly taking out mortgages at later stages of life. The age limit often corresponds to the borrower’s age at the end of the mortgage term, which can extend up to 95 in many cases.
While obtaining a first-time mortgage at an older age is possible, lenders may have restrictions on extending the mortgage term for borrowers seeking to reduce their monthly payments.
