Over half of first-time buyers face paying mortgages into retirement

52% of new first-time buyers will be 65 or older by the time their mortgage matures, according to new data from Experian.

The figures reveal the UK’s widening ‘homebuying gap’, as the average age of a first-time buyer creeps closer to 35 (34.7 years, up from 33.7 in 2024). 

The data highlights a significant demographic shift, with the proportion of 18 to 24-year-old buyers falling (from 9.1% to 7.3%), while those buying between the ages of 35 and 44 has surged to over 30%. 

As buyers wait longer to get on the ladder, they are also borrowing more. The average mortgage for a first-time buyer now sits at £230,000 - a 5.5% increase - compared to £202,000 for non-first-time buyers. In 2025 alone, first-time buyers borrowed a staggering £115 billion in mortgages, representing 39% of all mortgages.

Despite the age shift, the data offers a glimmer of hope: the overall credit quality of first-time buyers has risen by 0.4%, and average monthly payments have fallen slightly to £1,157 (down from £1,232) reflecting recent reductions in interest rates.

John Webb, consumer affairs expert at Experian, commented: "The data shows a clear trend: the goalposts for first-time buyers keep moving. With buyers taking on larger loans later in life, and many facing the prospect of paying off their mortgage into retirement, getting your financial ducks in a row early has never been more critical."