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 its eldest borrower being 70 years old.
Due to escalating house prices and evolving circumstances, individuals are finding themselves purchasing their first homes at later stages in life. This trend is leading to an increasing number of first-time buyers burdened with mortgages well into their senior years.
Recent statistics from Santander indicate a growing dominance of older individuals in the mortgage market, with 22% of first-time homebuyers in 2025 aged over 40, marking an increase from 18% in the previous year.
While the average age of first-time buyers has been inching closer to 40 in recent times, data from the lender reveals a significant surge in individuals over 60 entering the property market for the first time, showing a 14% rise compared to the previous year.
Santander reported that its oldest first-time buyer this year was 70 years old, up from 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, there has been a decline in the proportion of younger buyers aspiring to own their first homes. The number of buyers aged 25 and under has dropped substantially over the past year, decreasing by almost a quarter from 2024 to 2025, despite the youngest first-time buyer being 18.
David Morris, the head of homes at Santander, emphasized that achieving homeownership dreams is feasible at any age. He highlighted that the current year has been favorable for buyers, with regulatory changes instilling confidence in potential homeowners regarding property ownership possibilities.
Although older borrowers are on the rise, there is a contrasting trend among younger generations aspiring to own homes. The widening gap between younger and older age groups in terms of homeownership is attributed to factors such as stamp duty changes and limited housing supply, according to Santander’s data.
Lenders typically set an upper age limit for mortgage applicants as part of their eligibility criteria. Alongside soaring property prices, increasing life expectancy has contributed to individuals securing mortgages later in life. The age limit often corresponds to the borrower’s age at the mortgage term’s conclusion, which in many cases can extend up to 95 years.
While obtaining a first-time mortgage at an older age is possible, lenders may impose restrictions on extending the term if borrowers seek to reduce their monthly payments.
